Pakistan Proposes New Crypto Regulations Amid Bitcoin Reserve Plans

Pakistan is taking concrete steps towards regulating cryptocurrencies, with the Crypto Council drafting a new framework for digital assets. While cryptocurrency still remains illegal in the country, the Crypto Council aims to build a secure and transparent crypto ecosystem. Significantly, this crypto regulation move follows the country’s recent decision to establish a Strategic Bitcoin Reserve.

Pakistan Crypto Regulation: New Policies Take Shape

The Pakistan Crypto Council (PCC) convened a high-level meeting in Islamabad, taking significant steps towards creating a solid crypto regulatory framework for the country. The council aims to build a robust crypto framework that balances innovation with security, transparency, investor protection, and financial inclusion.

Notably, the Pakistan crypto regulation aims to promote blockchain growth, protect investors, and drive financial inclusion. As part of its crypto regulation plans, the country has established the Pakistan Digital Assets Authority (PDAA).

The meeting was led by Finance and Revenue Minister Senator Muhammad Aurangzeb. Other members included the SBP Governor, the SECP Chairperson, and law and IT ministry officials. A technical committee comprising representatives from the State Bank of Pakistan, Securities and Exchange Commission of Pakistan, and other relevant government agencies will be formed to further develop these initiatives.

“Participants also discussed various options around the establishment of an autonomous regulatory authority to oversee and regulate the digital finance and crypto ecosystem in the country,” added the ministry. The finance division posited,

It was agreed to constitute a technical committee comprising representatives from SBP (State Bank of Pakistan), SECP (Securities and Exchange Commission of Pakistan), Law Division, and IT & Telecom Division. The committee will review the draft laws and propose a robust framework and governance structure to be reviewed by the Pakistan Crypto Council in its next meeting.

Regulatory Clarity Paves the Way for Pakistan’s Bitcoin Reserve

At the Bitcoin Conference, Crypto Council Head Bilal Bin Saqib announced Pakistan’s potential plans to embrace a Bitcoin reserve. However, the plan is expected to face scrutiny from the International Monetary Fund (IMF), which could complicate its implementation. This development was covered by CoinGape and later confirmed by local news outlet Samaa.

Significantly, the establishment of clear crypto regulations could play a crucial role in aiding the country’s Bitcoin reserve plans. A well-defined framework would protect investors and ensure the initiative’s long-term sustainability. It could also help address IMF concerns and reduce potential complications.