Pakistan has signed a memorandum of understanding with a firm linked to World Liberty Financial (WLF) to explore the use of its USD1 stablecoin.
The agreement represents one of the first publicly announced collaborations involving WLF, and it comes as ties between Pakistan and the United States show signs of warming.
Details of the Agreement
According to a Reuters report, the Pakistan Virtual Asset Regulatory Authority signed the agreement with SC Financial Technologies, an entity affiliated with WLF. The regulator explained that the memorandum is meant to support dialogue and technical understanding around emerging digital payment architectures.
Under the agreement, SC Financial Technologies will work with Pakistan’s central bank to explore integrating the USD1 stablecoin into a regulated digital payments structure, according to a source involved in the deal. This would allow the token to function alongside the country’s digital currency infrastructure.
Zach Witkoff, the chief executive of WLF and SC Financial Technologies, made the announcement during a visit to Pakistan. While there, he met with senior local stakeholders to discuss digital payment systems, cross-border settlement, and foreign exchange processes.
SC Financial Technologies is registered in Delaware and co-owns the USD1 stablecoin brand with U.S. President Donald Trump’s family’s crypto business, based on documentation related to the stablecoin’s reserves from July 2025.
Commenting on the agreement, Pakistan’s Finance Minister Muhammad Aurangzeb said, “Our focus is to stay ahead of the curve by engaging with credible global players, understanding new financial models, and ensuring that innovation, where explored, is aligned with regulation, stability, and national interest.”
Pakistan’s Digital Strategy
Stablecoins have experienced rapid growth in the last year, partially due to the United States passing the GENIUS Act, a federal law that set clear rules for dollar-backed digital assets. The regulatory clarity has encouraged other countries to assess how they could be used within their own financial systems.
USD1 launched on Ethereum and Binance’s BNB Chain in March 2025, and went live on DWF Labs’ market maker platform just over two months later. World Liberty recently proposed using up to 5% of its unlocked native WLFI tokens, valued at around $120 million at the time, to boost the asset’s growth. This came after the stablecoin flexed its growing stature in the global financial space when the state-controlled Abu Dhabi Investment company MGX used it to acquire a $2 billion stake in Binance.
Meanwhile, Pakistan has also been advancing its own digital currency efforts as it seeks to reduce cash usage and improve cross-border payments such as remittances, which are a key source of foreign exchange. In July last year, the central bank governor said the nation was preparing to launch a CBDC pilot and was finalizing legislation to regulate virtual assets.