Pakistan has entered into a collaboration with SC Financial Technologies an affiliate of World Liberty Financial, the crypto-focused firm associated with the family of U.S. President Donald Trump to examine the use of a dollar-linked stablecoin for regulated cross-border payments.

The Pakistan Virtual Asset Regulatory Authority (PVARA) confirmed the signing of a Memorandum of Understanding (MoU), stating that the partnership will facilitate ongoing technical engagement and policy dialogue around next-generation digital settlement and payment architecture.

The initiative represents one of the earliest publicly disclosed sovereign-level engagements involving World Liberty Financial, a digital finance platform launched in late 2024, and comes at a time of improving relations between Islamabad and Washington.

Under the MoU, SC Financial Technologies will engage with the State Bank of Pakistan to evaluate how its USD1 stablecoin could be integrated within a regulated digital payments stack, operating in parallel with Pakistan’s evolving digital currency infrastructure, according to a source familiar with the arrangement.

The announcement coincided with the visit of Zach Witkoff Co-Founder and CEO of World Liberty Financial and SC Financial Technologies ,who held discussions with senior officials on digital infrastructure, foreign exchange settlement, and remittance channels. Witkoff is the son of U.S. Special Envoy Steve Witkoff.

Finance Minister Muhammad Aurangzeb noted that Pakistan intends to remain proactive in engaging reputable international fintech players to understand emerging financial models while ensuring that innovation remains aligned with national economic stability and regulatory oversight.

SC Financial Technologies, incorporated in Delaware, co-owns the USD1 stablecoin brand alongside World Liberty Financial, according to reserve disclosures dated July 2025. Stablecoins, typically pegged to fiat currencies such as the U.S. dollar, have seen rapid global adoption in recent years. Regulatory reforms introduced in the U.S. under President Trump have been broadly viewed as supportive of crypto-assets and digital finance models.

Pakistan, meanwhile, has been pursuing digital financial reforms aimed at reducing cash usage, improving remittance efficiency, and modernizing payment systems. The State Bank Governor recently confirmed that a pilot for a central bank digital currency (CBDC) is in development, alongside new legislation governing virtual assets.

The new partnership is expected to feed into this broader modernization agenda as Pakistan evaluates how global stablecoin ecosystems can interface with domestic regulatory frameworks and cross-border financial channels.