A committee made up of the officials of various government agencies of Pakistan issued a letter suggesting a crypto ban.
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While some nations are embracing Bitcoin, others want to ban it.
Pakistan’s government and its central bank are contemplating pushing a new ban that would prohibit the use of cryptocurrencies. The news media CoinDesk y Cointelegraph reported Thursday citing local news channels.
Several authorities in Pakistan reportedly banded together in a committee and recently filed a document with a provincial court arguing that digital currencies like Bitcoin the biggest and most popular cryptocurrency in the world. It is a decentralized digital currency that enables users to make trustless peer-to-peer transactions. are illegal in that nation and may not be used for trade.
The document was signed by the Deputy Governor of the State Bank of Pakistan (SBP) Sima Kamil. Representatives from the Ministry of Finance, Securities and Exchange businesses that allow customers to trade cryptocurrencies for fiat money or other cryptocurrencies. Commission of Pakistan (SECP) and Federal Investigation Agency of Pakistan (FIA) are also included in the committee.
Pakistani authorities suggest crypto ban
According to local media, the document marks the first time Pakistani authorities have marked a clear position on digital assets. Back in 2018, the Asian nation’s central bank had issued a circular prohibiting banks, financial companies and payment providers from operating cryptocurrency cryptocurrencies are digital currencies that use cryptographic technologies to secure their operation. exchanges.
The participation of government officials and regulators on the committee suggest that there could be possible policy initiatives. The ban move could see the world’s fifth most populous country outlaw all cryptocurrency transactions. It should also be noted that Pakistan has the third-highest cryptocurrency adoption rate in the world, according to Chainalysis .
According to Cointelegraph, el State Bank of Pakistan urged the court, not only to ban digital digital technologies are these electronic tools that have the ability to generate, store or even process data. currencies, but also to impose sanctions on trading platforms of such assets. The SBP also cited concerns about the use of cryptocurrencies for crimes such as money laundering and terrorism; and referred to several investigations against exchanges of cryptocurrencies by the FIA.
“ This indicates that, unlike in the past, this is a policy movement that has greater consensus consensus is achieved when all participants of the network agree on the order and content of the blocks in the blockchain. and coordination. “, dijo Ali Farid Khwaja, socio de Oxford Frontier Capital capital is most commonly defined as the large sum of money you would use to invest. and president of KTrade KASB Securities a stockbroker in the capital Karachi. “ The SBP-led report has been accompanied by a coordinated crackdown on peer-to-peer network a network refers to all nodes in the operation of a blockchain at any given moment in time. and illegal crypto operators by the FIA and also warning letters issued by the SECP. “.
The news comes a few days after the FIA requested talks with some of the managers at Binance as part of an investigation into an alleged cryptocurrency scam. . The federal agency indicated that the scam a scheme that is designed to dupe people out of cash or crypto. was conducted through Binance and resulted in losses of more than $100 million to investors.
Finance ministries analyze the proposal
The Pakistani court is yet to take action to outlaw digital assets. The committee’s document has reportedly been forwarded to the finance ministries for consideration. They have also been ordered to determine whether a ban against cryptocurrencies is constitutional, according to a local media report.
On the other hand, CoinDesk reviewed that Pakistan’s government has set up a separate committee to consider a regulatory approach to cryptocurrencies following a call from the Financial Action Task Force (FATF), the global anti-money laundering watchdog. Pakistan has been on the organisation’s grey list of countries since 2018, hurting its ability to get international financial aid.
Local observers seem to have mixed views on the latest actions of the authorities. Majyd Aziz, former president of the Karachi Chamber of Commerce and Industry, said the government is maintaining a “state of emergency. mentality “of prohibition when “ things go wrong “. On the other hand, Faisal Aftab, co-founder of Zayn Capital He does not believe that the government of Pakistan has decided on a ban.
“ I think they are still exploring regulation. The ambiguity is over whether Pakistan will consider cryptocurrencies as an asset. But it is almost certain that it will not be considered legal tender. “said Aftab, quoted by CoinDesk .
Last year, China issued a ban on cryptocurrencies. Since then, they have rumoured that countries like India and Russia are also considering similar measures. Meanwhile, other legislations such as Tonga are considering following in the footsteps of El Salvador in recognizing the Bitcoin as legal currency currency is a medium of exchange that defines value. .
- Indian government to introduce bill to set up CBDC and ban some cryptos
- Official says Netherlands should ban Bitcoin: “It’s bad money”.
- Russia has no plans to ban Bitcoin like China, deputy finance minister said
Article versioned by Hannah Estefania Perez / DiarioBitcoin
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