Pakistan Announces Fresh Ban on Crypto: It Will "Never be Legalized in Pakistan."

Pakistan‘s government has released a fresh ban on crypto operating in the country as crypto is increasingly popular. According to local reports, on Wednesday, Pakistan’s minister of state for finance and revenue Aisha Ghaus Pasha said Cryptocurrency will “never be legalized in Pakistan” to the country‘s Senate Standing Committee on Finance. Aisha Ghaus Pasha reportedly said that the Financial Action Task Force (FATF) had set a condition that cryptocurrency will not be legalized to keep it off the international finance watchdog’s so-called “Grey List”.

Early back in Jan 2022, the SBP declared it planned to ban crypto, its clear position on the new financial technology, CoinDesk reported. Pasha also states that the nations central bank, the State Bank of Pakistan(SBP), and the Information Technology Ministry have been ordered to initiate work on banning cryptocurrencies.

On 30 April 2023, Pakistans Dawn newspaper reported that banks have formally warned customers against using debit or credit cards for crypto trading despite the crypto is getting popularity in recent years in Pakistan.

Background

The ban was released at a time when Pakistan was in political turmoil. The former PM of Pakistan Imran Khan, who was arrested after allegations of corruption and released just days ago after Pakistans Supreme Court rules the arrest unlawful, is in a “tense standoff” with police at his home in the city of Lahore.