News

The Pakistan Central Bank And The Federal Government Propose A Total Crypto Ban.

The State Bank of Pakistan and the federal government have both suggested that cryptocurrencies be completely banned. The Sindh High Court has directed the organizations to develop regulations. The law and finance ministries will now analyze their report.

According to reports, the government of Pakistan and its central bank, the State Bank of Pakistan, have agreed to prohibit cryptocurrencies. On January 12, local media outlets stated that the supposed complete ban plan would penalize bitcoin exchanges.

The prohibition is now only a recommendation, and it is uncertain if it will be strongly contested while authorities analyze it.

The Sindh High Court (SHC) has been investigating the legality of digital currencies, and this is the first time the central bank has taken a position on the crypto asset class. The SHC has requested that the asset class be regulated by the government in October 2020. With the restriction, it appears that none of that will be necessary, since crypto will have no place in the country.

The key grounds for the suggestion, as stated by other governments, are terrorism financing and money laundering. Many other nations, on the other hand, have set regulations, such as KYC processes, to prohibit similar activities – a considerably less draconian measure.

The measures make cryptocurrencies illegal and untradeable, while it is unclear what the implications would be for the investor. As it is, the advice is unclear, with the SHC requesting that the report be referred to the law and finance ministries for further consideration.

These ministries will assess if a prohibition is permissible under the Constitution. They will also create a legal framework, which should provide more clarity on the potential punishments. Popular crypto influencers have also spoken in, claiming that “youth want crypto” and that the prime minister should step in.

Pakistan has joined the ranks of roughly 10 other nations that have prohibited the use of cryptocurrency. The most notable of these is China, which outlawed the asset class last year while developing its own central bank digital currency (CBDC). Egypt and Bolivia are two more nations that have outlawed cryptocurrency.

Many nations permit bitcoin and cryptocurrencies in some form, however the majority operate in the shadows. The rapid expansion of the cryptocurrency sector has not been followed by consistent regulation. Countries have only began to look into regulation in the last 12 months or so.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Patrick

Coincu News

Victor

Recent Posts

Top New Meme Coins to Join Today: BTFD’s Referral Program Rewards 10%, PNUT Eyes $2 Recovery, and FLOKI Rises in DeFi

Discover the top new meme coins to join today: BTFD Coin’s referral program rewards investors,…

15 minutes ago

Kicking Yourself Over Solana? Qubetics Is the One to Watch Now

Solana has been stealing headlines again, soaring in popularity for its speed and reliability, leaving…

2 hours ago

Updates on DAG’s New Referral Program, ETH Whale Moves & XRP Price Action

Discover why BlockDAG stands out as the best crypto to buy now, with its instant…

3 hours ago

Qubetics Revolutionizes Cross-Border Payments, Bitcoin Holds Strong, and Stellar’s Adoption Grows: Best Cryptos to Invest in for Short Term

Explore the best cryptos to invest in for short term, including Qubetics' game-changing cross-border payments,…

5 hours ago

BlockDAG USDT Cashback, plus DOGE & Cardano prediction 2025 

Read about BlockDAG's USDT cashback offer of up to 10% on purchases, explore the latest…

6 hours ago