Key Highlights
- Pakistan partners with WLF to integrate USD1 stablecoin, aiming to modernize payments and boost cross-border remittances.
- Stablecoins like USD1 gain global attention as companies and individuals seek secure, dollar-pegged digital assets.
- Strong regulation is vital as stablecoins grow, with $154B in crypto crime in 2025 highlighting security risks.
Pakistan is to integrate the USD1 stablecoin into its regulated digital payments system, advancing the country’s digital finance goals. The government made a deal with a company tied to World Liberty Financial (WLF), a crypto firm linked to the U.S. President Donald Trump’s family.
The State Bank of Pakistan will oversee the integration process, allowing WLF’s stablecoin to interact with the country’s digital currency ecosystem. This is part of efforts to ensure faster international payments such as remittances using a crucial source of foreign currency.
According to a Reuters report, this deal is one of the first times WLF, which started in September 2024, has partnered with a country. WLF’s CEO, Zach Witkoff, is expected to visit Islamabad to make the announcement. Details are still scarce, but the partnership shows closer ties between the U.S. and Pakistan. It also highlights Pakistan’s push to modernize payments and rely less on cash.
WLF and the stablecoin surge
World Liberty Financial’s USD1 stablecoin comes as stablecoins are growing quickly. These digital dollars are tied to the U.S. dollar, so users don’t have to worry about big price swings. Bloomberg earlier reported that stablecoin transactions hit $33 trillion in 2025. USDC topped the market with $18.3 trillion in transactions, followed by Tether’s USDT at $13.3 trillion.
On top of that, Trump-era policies like the Genius Act have encouraged big companies, including Walmart, Amazon, and Standard Chartered, to look into digital dollars. As a result, stablecoins are gaining both business adoption and worldwide attention.
WLF’s USD1 stablecoin is already making an impact. In May 2025, Abu Dhabi’s state-owned MGX used it to buy a $2 billion stake in Binance. Besides corporate use, people in unstable countries increasingly turn to digital dollars to safeguard wealth. Anthony Yim, Co-Founder of Artemis, said “digital US dollars” are becoming more popular as global tensions grow.
Pakistan’s digital currency push
Pakistan is considering projects on digital currency to upgrade the country’s financial system. In July, the central bank governor declared a pilot program, and the government is firming up rules on regulating virtual assets. The introduction of WLF’s stablecoin in the system will be a help for the above two initiatives.
The partnership could also allow faster and more transparent cross-border remittances. This, therefore, is perhaps the reason why the government looks at stablecoins as a means to enhance financial inclusion and remain relevant with global trends.
However, the existence of stablecoins also poses challenges. Illicit crypto-related activities reached a record of $154 billion in 2025, contributed by organized crime groups, as well as state-sponsored hackers as per the Chainalysis report. This includes $2 billion stolen by the Lazarus Group and the hack of Bybit worth $1.5 billion. Therefore, regulation will be paramount in the process of integration staged by Pakistan and WLF.
According to DeFiLIama data, the stablecoin market is at $308.08 billion, with USDT controlling 60.63%. Despite slight recent declines, adoption remains strong, reflecting global interest in dollar-pegged digital assets. Apart from the corporate application, this development implies that trust in the regulated stable cryptocurrency is growing.
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