Pakistan Moves Toward Digital Dollar With Trump-Linked Token
- Pakistan explores a regulated digital dollar path with a Trump-linked crypto platform.
- World Liberty Financial plans to USD1 use inside Pakistan’s formal payment rails system.
- Stablecoin talks align with Pakistan’s push for remittance speed and cash reduction
Pakistan has entered a strategic partnership with World Liberty Financial, a cryptocurrency firm linked to the family of U.S. President Donald Trump, to explore digital dollar payments. The agreement focuses on using a dollar-pegged stablecoin within Pakistan’s financial system. Officials and analysts say the move reflects closer financial engagement between Pakistan and the United States while signaling wider state interest in dollar-linked digital assets.
Under the arrangement, Pakistan plans to work with World Liberty Financial to integrate its USD1 stablecoin into regulated payment channels. The stablecoin is backed by U.S. dollars and targets a one-to-one peg with the U.S. currency. According to Reuters, the token will operate alongside Pakistan’s existing digital payment and currency initiatives.
The partnership emerges as Pakistan advances policies to modernize payments and manage cross-border flows. Remittances remain a key source of foreign exchange for the country. Digital payment tools have become central to those policy efforts.
Integration Plans and Official Engagements
The agreement includes plans to integrate USD1 into Pakistan’s regulated digital infrastructure. This integration will take place alongside the country’s central banking framework. Officials have prepared for the token to operate within the broader financial ecosystem.
The announcement is expected during a visit to Islamabad by World Liberty Financial’s chief executive, Zach Witkoff. He is scheduled to meet officials from Pakistan’s finance ministry and central bank. Authorities have not yet issued public statements on the deal.
While details around SC Financial Technologies remain limited, the firm maintains links to World Liberty Financial. Officials continue preparations ahead of the formal announcement. The process aligns with Pakistan’s stated interest in digital financial innovation.
Stablecoins and Regulatory Context
Interest in stablecoins has grown as dollar-pegged tokens gain visibility worldwide. In the United States, supportive regulatory signals have increased industry activity. Pakistan refined its own digital economy strategy, monitoring these developments.
World Liberty Financial was launched in September 2024 with support from Trump family affiliates. The firm built USD1 as part of a wider decentralized finance ecosystem. USD1 targets institutional use cases such as cross-border payments and settlements. In parallel, World Liberty Financial has sought regulatory clarity in the United States.
One subsidiary applied for a National Trust Bank charter with the Office of the Comptroller of the Currency. The submission is intended to be subject to federal supervision of the issuance and custody of USD 1.
Related: Pakistan’s Quiet Bid to Become South Asia’s Tokenization Hub
Wider Effects and Worldwide Movement
Market players view regulatory and geopolitical issues as the main result of the government-backed stablecoins’ usage. Some people suggest that there may be a connection between the influence of politics and significant business actions. However, these worries are still an issue in the overall discussion about digital currencies.
World Liberty Financial has expanded its activity beyond Pakistan. A Reuters report in October said the project boosted income tied to the Trump Organization. Foreign entities contributed to that increase during the first half of last year.
In May, MGX, an Abu Dhabi state-controlled investment firm, used the World Liberty stablecoin to buy a $2 billion stake in Binance, Reuters reported. The transaction added visibility to the stablecoin’s institutional use.
It also drew attention to its cross-border settlement role. Pakistan has pursued digital currency projects to reduce cash usage and improve remittance efficiency. The central bank governor said in July that a digital currency pilot was in preparation.
Legislation to regulate virtual assets is also nearing completion. As regulators worldwide advance stablecoin frameworks and pilot digital payment systems, analysts track rising acceptance of dollar-linked digital assets. Will sovereign adoption of stablecoins reshape global payment infrastructure?
