Pakistan's Federal Investigation Agency (FIA) has created a dedicated cryptocurrency investigation unit. The new unit is based inside the FIA's recently operational National Command and Control Centre (NC3).
Its primary mission is to investigate money laundering and terrorism financing conducted through virtual currencies. The FIA's counter-terrorism chief, Dr Muhammad Athar Waheed, confirmed the development to local media.
This unit handles enforcement. The recently created Pakistan Virtual Assets Regulatory Authority (PVARA) is the separate body responsible for regulating the sector.
The move is part of a broader national push. Pakistan has lifted a long-standing crypto banking ban, created PVARA, and is advancing licenses for crypto exchanges.
The government has also explored crypto diplomacy, including a deal with an affiliate of the Trump family's World Liberty Financial venture to explore using its stablecoin for cross-border payments.
The government's crypto ambitions face a challenge from religious authorities. An influential seminary recently ruled that cryptocurrency is not considered valid wealth under Islamic law, casting doubt on its use for payments.
PVARA chairman Bilal bin Saqib has asked for clarification, suggesting Pakistan could lead in Shariah-compliant digital finance if a distinction is made between speculative tokens and asset-backed instruments.
The new FIA unit provides an enforcement arm for the government's regulatory ambitions, even as the fundamental religious question remains under debate.