In Pakistan, the State Bank of Pakistan (SBP) and the federal government have agreed to prohibit the usage of all cryptocurrencies.
The central bank has filed a report to a panel of the Sindh High Court (SHC) tasked with hearing and administering rulings on the country’s cryptocurrency usability and sustainability. Cryptocurrencies are prohibited and cannot be traded, according to the report.
The report will be referred to the finance and law ministries for a final judgement, according to the Sindh High Court. The law and finance ministries are expected to decide soon whether a ban on cryptocurrency is permissible under the Constitution.
The SHC has also ordered the law and finance ministries to conduct a joint study of cryptocurrencies and submit a comprehensive report justifying whether the financial instrument should be outright banned or allowed to function as a legitimate store of value under a legal framework that is acceptable.
The highest Sindh court wants the report to look at all possibilities in order to permanently resolve the uncertainties surrounding the future of cryptocurrencies in the country. On April 12, the report is anticipated to be handed before the Sindh High Court.
This comes little over three months after the SHC ordered the government to regulate cryptocurrencies and create a committee to monitor the processes under the federal secretary of finance.
The decision was made in response to a petition asking for a discussion and evaluation of the future of cryptocurrencies at the moment. Concerned stakeholders have been ordered by the SHC to develop a regulatory strategy for governing and dealing with cryptocurrencies in Pakistan.
All parties present were ordered by the Court to complete all requirements within three months and give a thorough report on the case as soon as possible.
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