Crescent Star Insurance Limited (CSIL), a leading Pakistani insurance provider, has announced plans to enter the digital and virtual assets sector, marking a strategic shift beyond its conventional insurance business. The company intends to achieve this through a proposed joint venture with SG Power Limited (SGPL), signalling its interest in exploring emerging opportunities in Pakistan’s growing digital financial ecosystem. The development was formally disclosed in a notice to Pakistan Stock Exchange on December 26, 2025.
According to the statement, CSIL’s board of directors convened an emergent meeting on December 24, 2025, to review its strategic investment portfolio and long-term platform strategy. During the session, the board approved in principle the activation of Crescent Star Technologies (Private) Limited (CST), a wholly-owned subsidiary of CSIL, which will operate under a joint venture structure with SGPL. Under the proposed arrangement, SGPL is expected to acquire a 51% equity stake in CST, while CSIL will retain the remaining 49%. The approval remains conditional on obtaining all required regulatory and corporate permissions.
The joint venture aims to explore opportunities in digital and virtual assets, including preparing applications to the Pakistan Virtual Assets Regulatory Authority (PVARA) or any other relevant regulatory bodies. CSIL highlighted that CST, operating under the umbrella of CSIL and SGPL, will develop a detailed proposal for regulatory approval and operational planning for undertaking digital asset-related activities. The initiative reflects a wider trend among traditional financial service providers in Pakistan to integrate technology-driven solutions and position themselves within the rapidly expanding fintech ecosystem.
Separately, CSIL’s board also approved a review of its investment position in SG Power Limited to optimise returns and strengthen its portfolio in line with strategic priorities. The company has authorised its CEO and company secretary to conduct preparatory work, initiate regulatory submissions, and carry out all necessary actions required for these initiatives. Analysts suggest that this move could provide CSIL with access to innovative digital asset products while enhancing its long-term growth and relevance in a sector increasingly shaped by technology.
Founded in 1957 as a public limited company under the Companies Act, 1913, and now regulated under the Companies Act, 2017, CSIL has traditionally focused on non-life general insurance services. Its offerings include fire and property damage, marine, aviation and transport, motor, credit and suretyship, accident and health, and miscellaneous insurance. By extending into digital assets, the company seeks to leverage its existing market expertise while adapting to evolving consumer preferences and regulatory frameworks for fintech and virtual assets in Pakistan.
Industry observers note that the joint venture has the potential to position CSIL as one of the first traditional insurance providers in Pakistan to formally explore virtual asset markets through a regulatory-compliant platform. The partnership with SGPL could facilitate innovation in digital insurance products, blockchain-enabled solutions, and other virtual asset applications that align with the country’s emerging digital economy initiatives. With PVARA now providing a formal regulatory framework, companies like CSIL are increasingly evaluating ways to integrate these technologies into mainstream financial services while ensuring compliance and risk management.
The move underscores a broader trend in Pakistan where established financial institutions are exploring technology-driven diversification to remain competitive. Experts suggest that this expansion into virtual assets will likely influence investment strategies, attract new customer segments, and drive innovation in areas such as digital insurance, tokenisation, and fintech-backed investment products. By entering this space, CSIL could serve as a model for other traditional insurers looking to bridge conventional financial services with emerging digital opportunities.
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