Govt Accused by NA Panel of Illegal Crypto Launch in Pakistan

Even though the crypto currency is technically prohibited and not accepted as legal tender by the central bank, the government’s move to launch the Pakistan Crypto Council (PCC) and allot 2,000MW of power was sharply questioned by the National Assembly Standing Committee on Finance on Thursday.

All members of the recently established PCC were invited to the meeting, along with representatives from the Ministry of Energy, to discuss the government’s plans regarding cryptocurrency.

Imdadullah Bosal, the finance secretary, also noted that cryptocurrencies are still prohibited and not accepted as legal cash in Pakistan.

The committee reminded everyone that there is currently no legal or regulatory framework in place. The State Bank Act was amended in an attempt to legalize cryptocurrency, although there is currently no conclusive information available.

While cryptocurrency is still illegal, one committee member encouraged the government to warn the public against investing in it. Additionally, he clearly stated that the public bears the risk of investing in cryptocurrencies.

Another participant said that cryptocurrency is viewed as a commodity rather than a form of money worldwide.

Additionally, other participants also complained that 2,000 megawatts of electricity had been set aside for cryptocurrency operations. They noted that while authorities claim it is illegal, they also have the authority to provide funds.

They asked why the government was promoting it and why the State Bank wasn’t looking into it.

The legitimacy and sway of PCC were also questioned. Another member cautioned that eventually, monies will begin to leave the nation because of cryptocurrency.

The prime minister’s special assistant, Bilal Bin Saqib, the central bank governor, and the finance minister were all required to provide a thorough briefing to the committee.

The chairman of the committee also stated that the government must take a definite stance until a regulatory framework is established and a decision is taken about the crypto launch in Pakistan.