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Cryptocurrency Will Face Permanent Ban in Pakistan: Finance Minister

Published 18/05/2023, 16:30
Cryptocurrency Will Face Permanent Ban in Pakistan: Finance Minister

  • Pakistan to likely implement a total ban on cryptocurrencies.
  • Aisha Ghaus Pasha told the committee that legislation to ban crypto will be implemented.
  • Pasha asserted that crypto will not be legalized in Pakistan.

Where Europe and the UAE are embracing cryptocurrencies, Pakistan is deciding to do the opposite and ban them. Pakistan’s Senate Standing Committee on Finance spoke about the execution of legislation aimed at restricting the usage of cryptocurrencies in the country on Wednesday. Aisha Ghaus Pasha, Minister of State for Finance, informed the committee of the government’s intention to outlaw cryptocurrencies through upcoming legislation.

During the meeting, Pasha stated that the State Bank and the Ministry of Information Technology have begun work to ban cryptocurrencies in the country. She also stressed that cryptocurrency will never be legalized in Pakistan.

Sohail Jabbar, Executive Director of Digital State Bank, revealed that the cryptocurrency market’s worth has dropped significantly, from $2.8 trillion to $1.2 trillion. He stated that cryptocurrencies are bogus and that they will not be legalized in Pakistan. He further stated that the Federal Investigation Agency (FIA) and Financial Monitoring Unit (FMU) are aggressively investigating Pakistani cryptocurrency investments.

Pakistan People’s Party (PPP) Senator Farooq H. Naik stated that those who deal with cryptocurrency in Pakistan should be punished and also highlighted the need for formal crypto legislation. Naik also said that crypto can lead to financial terrorism.

If the Pakistani government passes legislation to ban crypto, it will follow countries like China, Algeria, Bangladesh, Egypt and Nepal, which took the same decision to ban it. Some countries are concerned that cryptocurrencies could be used for money laundering or other criminal purposes. Others are concerned about the digital currency price volatility and the danger of investors losing money. Others are simply uneasy with the concept of a decentralized currency that is not vulnerable to government authority.

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