The Pakistani government formed 3 sub-committees to determine the legal status of cryptocurrency in the nation. During a meeting headed by Finance Secretary Hamed Yaqoob Sheikh, the 3 sub-committees were constituted to decide whether crypto business should be legalised or banned in Pakistan. The committees will look at every element of the crypto business to decide the future of cryptocurrencies and associated enterprises. The committees will also provide recommendations for the country’s cryptocurrency policy.
Three sub-committees of Pakistan
Under the chairmanship of Pakistan’s law secretary, Raja Naeem Akbar, the first committee was created. The sub-committee will include representatives from the State Bank of Pakistan (SBP), the Federal Investigation Agency (FIA), and the Pakistan Telecommunication Authority (PTA), among others. This committee will determine whether cryptocurrencies will be banned or not in the nation under present legislation. It will also provide a mechanism for banning cryptocurrency while preserving a balance between welfare and technical progress.
Under the chairmanship of SBP Deputy Governor Saima Kamal, the other two sub-committees were formed. Representatives from the Ministry of Information Technology, the Securities and Exchange Commission of Pakistan, and the Pakistan Telecommunications Authority are among the members of these sub-committees.
The second sub-committee’s recommendations will be focused on placing an immediate ban on cryptocurrencies, as well as its long-term consequences. It will also consider whether Pakistan will fall behind in the global competition for technical growth if cryptocurrency is outlawed.
The sub-committees will formulate their suggestions and submit them to a committee chaired by the finance secretary Hamed Yaqoob Sheikh, who will then make decisions on the future of crypto.
Pakistan stance on crypto
The State Bank of Pakistan has been anti-crypto for a long time. On March 9, the head of Pakistan’s central bank, Reza Baqir, remarked that “crypto has no meaningful use cases”.
He remarked that “around the world, there are a lot of misuses [of cryptocurrency], including human rights violations, trafficking of people, money laundering, and many other things.” He disclosed in February that his agency had assessed that the hazards presented by cryptocurrencies “much exceed the advantages.”
In January, customers of Pakistani Bank Alfalah received SMS warnings. The SMS warned them not to perform crypto transactions using its banking channels. The Federal Investigation Agency (FIA) also allegedly ordered the Pakistan Telecommunication Authority to freeze the bank accounts of 1,064 people who had transacted on crypto exchanges such as Binance, Coinbase, and Coinmama.
Read more:
- Unexpected move by FIA for cryptocurrency traders and contradicting statements by Pakistan’s Science Minister
- Pakistan to ban cryptocurrencies?
