Govt forms panels to decide future of cryptocurrency business

ISLAMABAD:

The federal government has constituted three sub-committees to decide the future of cryptocurrency business in the country.

These panels will formulate their recommendations after reviewing all the aspects of the cryptocurrency business including the determining of its legal status and a ban on it.

According to documents available with The Express Tribune, these sub-committees were formed in a meeting chaired by the federal finance secretary to decide whether or not to legalise the cryptocurrency business.

The first panel was formed under the chairmanship of law secretary. State Bank of Pakistan (SBP), Federal Investigation Agency (FIA) and Pakistan Telecommunication Authority (PTA) will be the members of the sub-committee among others.

The committee will mull over the method to ban cryptocurrency, if necessary, while maintaining a balance between welfare and technological advancement and would make recommendations in the light of this review.

Read PTA opposes banning cryptocurrencies

The other two sub-committees have been set up under the chairmanship of SBP Deputy Governor Saima Kamal. The members of the panels will include representatives of the Ministry of Information Technology, Securities and Exchange Commission of Pakistan and PTA and others.

The first committee would decide whether cryptocurrency can be banned as the approved legal tenders or virtual assets at this stage. The panel will formulate its recommendations in view of the related laws.

The recommendations of the second sub-committee will be based on imposing an immediate ban on cryptocurrency and that would be its repercussions in future.

It would further discuss whether Pakistan would lag behind in the technological advancement race internationally if crytocurrency is banned.

The sub-committees will prepare their proposals and send them to a committee headed by the finance secretary following which recommendations will be prepared on the future of cryptocurrency.