Pakistan USD1 Stablecoin Deal With WLFI Marks Payments Shift

Why Pakistan USD1 Stablecoin Matters: Is Rapid Crypto Adoption Ahead?

Pakistan has taken a fresh step toward digital finance after signing an agreement linked to World Liberty Financial, a crypto firm connected to U.S. President Donald Trump’s family. The deal focuses on exploring the use of the Pakistan USD1 stablecoin for cross-border payments and regulated digital transactions.

Source: Coin Bureau

On January 14, 2026, Pakistan’s Virtual Asset Regulatory Authority confirmed a memorandum of understanding (MoU) with SC Financial Technologies, described as an affiliate of World Liberty Financial. This marks one of the first publicly known partnerships between World Liberty Financial and a sovereign nation.

With this, the agreement opens technical discussions on the Pak's USD1 stablecoin working within the country’s regulated payment system.

Pakistan USD1 Stablecoin and Cross-Border Payment Plans

Under the MoU, SC Financial Technologies will work with Pak’s central bank to explore the integration of the USD1 stablecoin into a regulated virtual payments framework. The USD1 token is a fully dollar-backed stablecoin designed for global payments and cross-border settlement.

Officials clarified that this is not a full rollout. Instead, it is an exploratory step aimed at understanding new digital payment models. If adopted in the future, the stablecoin could operate alongside Pak’s planned central bank virtual currency, often referred to as the digital rupee.

The announcement came during a visit by Zach Witkoff, CEO of World Liberty Financial and SC Financial Technologies, who met senior Pakistani officials to discuss digital payments, foreign exchange processes, and settlement systems.

Why the Pakistan USD1 Stablecoin Matters?

The country’s economic condition, although gradually stabilizing, faces years of stress. Some areas like GDP growth improved to 3.0–3.7%, inflation cooled to around 4–6% from earlier highs, and recovering of foreign reserves signal some ease, but not a relaxing phase. 

Challenges still remain with high energy cost, taxes, and job creation, underscoring a cautious optimism. 

In this situation, a country which heavily relies on remittances by generating over $30 billion annually, this deal matters a lot to keep its economic status leveled. Traditional transfer methods are often slow and costly. Stablecoins like USD1 could reduce charges, make transactions fast, and enhance transparency. 

Increasing Numbers: Pakistan Crypto Adoption 

As of January 2026, Pak remains one of the world’s top crypto-adopting countries at the user level, lifted by potential remittance needs, digital exploration at grass-root, and long-standing P2P trading activity.

The government, on its level, also brought clarity to the sector with the formation of the Pakistan Virtual Asset Regulatory Authority (PVARA) and Cryptocurrency Council.

Source: PVARA Official

Finance Minister Muhammad Aurangzeb

Finance Minister Muhammad Aurangzeb said the country aims to stand ahead by working with trusted global players while ensuring innovation aligns with regulation, stability, and national interest.

Let’s Summarize

Stablecoin markets are potentially surging as the global leaders and institutions are exploring their role as a better payment and monetary tool. Following the same stance, Pak is also planning to integrate the fixed value pegged digital coins into its economy to strengthen cross-border payment channels with reduced costs. 

Disclaimer: The article does not constitute any financial-investment advice, it is for  informational purposes only. Readers should conduct their own research before making decisions.