The Federal Investigation Agency (FIA) is the proper authority to investigate unlawful cryptocurrency transactions, according to the State Bank of Pakistan (SBP).
In response to a question from an anonymous source, an SBP representative stated that if any illicit cryptocurrency transactions were uncovered, the FIA would be the right authorities to investigate.
He made it clear that it was not the responsibility of the central bank to investigate any individual suspected of engaging in the aforementioned criminal behavior.
The spokeswoman said the central bank has issued a clear directive to the banking industry regarding the illegality of dealing in cryptocurrency, referring to the recent FIA seizure of over 1,000 bank accounts for crypto transactions.
In response to a question, the spokeswoman stated that the SBP was undertaking internal studies on cryptocurrencies as part of the country’s future monetary strategy.
He said, “the case for cryptocurrencies in Pakistan is currently sub judice,” meaning that there should be no public discussions on the said subject.
It’s worth noting that, despite aspirations of a regulatory movement toward the adoption of digital assets as legal cash, the situation is still quite unsettled, making it difficult to predict if the country will see digital assets regularised in the next years.
The sale and acquisition of virtual assets is now forbidden under the SBP’s Banking Policy and Regulation Department’s (BPRD) Circular No. 3 dated 6 April 2018.
Earlier this week, the FIA confiscated the bank accounts of 1,064 people who had made 2,923 transactions totalling Rs. 51 million on various online exchanges like as Binance, Coinbase, and Coinmama.
Individuals who had been using Binance P2P to buy or sell cryptocurrency had their bank accounts suspended as well.
As of July 2021, Pakistan is among the top 15 countries in the world for digital currency adoption. Pakistanis presently own cryptocurrencies worth $20 billion, according to the President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI).
To read our blog on credit cards and bank accounts used to trade cryptocurrencies have been frozen by FIA, click here.
