Pakistan plans to legalise crypto in bid for foreign investment: report

KARACHI: Pakistan plans to create a legal framework for cryptocurrency trading in a bid to lure international investment, reports Bloomberg.

The country aims to devise a clear regulatory framework for governing digital-asset activities to boost the local ecosystem, said Bilal bin Saqib, chief executive officer at Pakistan Crypto Council, in an interview with Bloomberg TV.

Crypto trading is already popular in the South Asian nation -- the world’s fifth largest by population -- despite central bank warnings over the risks posed by the industry. Pakistan ranks ninth globally in terms of crypto adoption, according to Chainalysis. There are about 15 million to 20 million crypto users in Pakistan, Saqib said in the interview.

“Pakistan is done sitting on the sidelines,” said Saqib. “We want to attract international investment because Pakistan is a low-cost high-growth market with 60 per cent of the population under 30. We have a Web3 native workforce ready to build.”

The legalisation plan comes after the appointment of Saqib as chief advisor to the finance minister for the management of digital assets earlier this month. He will also be advising on exploring the use of artificial intelligence to enhance government efficiency, optimise decision-making processes and drive innovation in public sector operations, according to the Bloomberg report. Lawmakers in some of Asia’s key digital-assets markets are warming to the industry, spurred on by Donald Trump’s pro-crypto agenda in the US.

“Trump is making crypto a national priority and every country including Pakistan will have to follow suit,” Saqib said.