Pakistan, Jan. 15 -- Pakistan's recent memorandum of understanding with a US firm connected to World Liberty Financial-the dollar-pegged stablecoin project tied to the family of U.S. President Donald Trump-should prompt more questions than applause.

Under the MoU signed on January 14, the Pakistan Virtual Asset Regulatory Authority and the central bank will explore whether the USD1 stablecoin can be integrated into the country's regulated digital payments and cross-border remittance architecture. The goal, according to officials, is to modernise payments and reduce friction in remittances, a sector that consistently supplies a crucial tranche of hard currency into the economy. Remittances now exceed $38 billion annually, often outpacing ...