Pakistan Partners Trump’s WLFI for Cross-Border Stablecoin Payments

Pakistan, the fifth-most populous country in the world, has signed an agreement with World Liberty Financial (WLFI), a crypto business linked to the family of United States President Donald Trump. According to the latest Reuters announcement, the deal aims to explore the use of a U.S. dollar-backed stablecoin for cross-border payments.

Notably, the country revealed that its Virtual Asset Regulatory Authority confirmed it has signed a memorandum of understanding (MOU) with SC Financial Technologies. This is a formal document between two or more parties that outlines their shared intentions and common goals, serving as a blueprint for future collaboration.

Partnership Signals Growing Global Interest in Stablecoins

As part of the agreement, SC Financial Technologies will work closely with Pakistan’s central bank. The primary objective is to integrate the USD1 stablecoin into a regulated digital payments framework. As such, this allows the stablecoin to operate within the country’s crypto asset plans, according to a source familiar with the story.

The regulator also noted that the firm is an affiliated firm of World Liberty Financial. According to the announcement, the deal will support dialogue and technical cooperation on new digital payment systems. 

While this latest collaboration is significant, it is also one of the first publicly known partnerships between World Liberty Financial and a sovereign state. While the deal made headlines, Reuters earlier reported that the agreement had been signed before the official announcement.

Potential Boost for Cross-Border Transactions  

Muhammad Aurangzeb, Pakistan’s Finance Minister, noted that the country plans to stay updated by engaging with prominent global players while keeping the national interest at heart. If successful, the collaboration could play a crucial role in the county. It could help Pakistan modernize its payment system and improve cross-border transactions.

In recent years, stablecoins have grown rapidly. Both institutions and countries now seek faster and cheaper ways to move funds. In Pakistan, this is especially important for remittances, which are a major source of foreign exchange. The central bank has already said it plans to launch a digital asset pilot and finalize laws to regulate virtual assets.

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