Pakistan is moving to legalize cryptocurrencies after years of resistance. The government now shows a clear shift in policy by planning to establish a National Crypto Council.
This move comes as part of a broader effort to support digital assets and modernize the financial sector. It also appears to be an effort to strengthen ties with the United States.
Officials say the new council will include government representatives, regulators, and industry experts who will work together on clear rules and policies for digital assets.
New Steps Toward Regulation
The finance ministry revealed the plan after a recent meeting between Finance Minister Mohammed Aurangzeb and a group of US advisers for digital assets. The delegation included figures such as Gentry Beach Jr., Nikita Goldsmith, Alex Malkov, and Jerad Finck.
Gentry Beach Jr. is known for his business ties to former President Donald Trump. He had previously met with Prime Minister Shehbaz Sharif and promised to invest over $1 billion in Pakistan.
This high-level engagement underscores the importance of digital assets in the new policy.
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Aurangzeb has urged stakeholders to develop a strong framework for digital assets. The aim is to build an ecosystem that is secure, transparent, and economically sound.
The proposed council will be tasked with setting up clear rules and addressing challenges that come with digital finance. The council will also work with friendly countries to create standard rules for international digital trade.
Challenges and Opportunities
The move to legalize cryptocurrencies is a big change for Pakistan. The country’s central bank had earlier declared virtual currencies such as Bitcoin, Litecoin, and several others illegal.
With over 20 million active users in the digital asset market, many face high transaction fees and other challenges. The finance ministry now hopes that a new regulatory framework will help reduce these problems and boost digital business growth.
The discussions during the recent meeting also touched on tokenizing assets from state-owned enterprises and other key infrastructure.
This could increase liquidity and bring more investors into the market. Local and foreign investors have already developed digital asset solutions that could benefit from a regulated environment.
The government is working hard to ensure that any new framework aligns with international rules and the guidelines of global watchdogs like the Financial Action Task Force.
Moving Forward
By setting up the National Crypto Council, Pakistan aims to lead the change in digital asset regulation. The council will help shape policies and ensure that digital assets grow safely and sustainably. It will also serve as a bridge between Pakistan and other nations working on digital trade rules.
Pakistan’s move to legalize cryptocurrencies marks a bold new direction for the nation. The establishment of a National Crypto Council reflects a strong commitment to modernize the financial system and attract investment.
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