Pakistan has signed an agreement with a company affiliated with World Liberty Financial (WLFI) — a crypto venture linked to the family of U.S. President Donald Trump — to explore the use of a U.S. dollar-pegged stablecoin for cross-border payments, Reuters reports.
The memorandum of understanding (MoU) was announced on Wednesday by the Pakistan Virtual Asset Regulatory Authority (PVARA), which said the partnership is aimed at building “technical understanding” of emerging digital payment infrastructure.
MoU signed with WLFI-linked entity
According to the statement, Pakistan entered the agreement with SC Financial Technologies, a relatively low-profile company described by PVARA as an “affiliated entity” of WLFI. The regulator said the MoU establishes a framework for dialogue around digital payment architectures and how stablecoins could be used in regulated settlement flows.
Stablecoin use case: cross-border payments
The initiative is focused on evaluating whether WLFI’s stablecoin USD1 can be used to support international payments and settlement. Reuters cited a source involved in the deal saying the token may ultimately be integrated into a regulated structure that supports cross-border transactions.
Central bank coordination and regulatory rails
Under the agreement, SC Financial Technologies is expected to work alongside Pakistan’s central bank on potential integration routes — with the goal of enabling USD1 to operate within compliant payment channels and alongside Pakistan’s existing digital currency infrastructure, according to the source cited by Reuters.
Witkoff visit tied to announcement
The MoU was disclosed during a visit to Pakistan by Zach Witkoff, co-founder and CEO of WLFI and the son of U.S. special envoy Steve Witkoff. Witkoff also serves as CEO of SC Financial Technologies. In its statement, PVARA said meetings were held with “senior Pakistani stakeholders” to discuss digital payment infrastructure, cross-border settlement, and foreign exchange-related processes.
USD1 brand ownership and WLFI product expansion
Documentation related to USD1’s reserves from July 2025 reportedly indicates that SC Financial Technologies and WLFI co-own the USD1 stablecoin brand.
WLFI has recently expanded its stablecoin product suite, including a lending-focused decentralized finance application where USD1 functions as the primary asset, with collateral options such as ETH, cbBTC, USDC, USDT, and WLFI.
