Mark Weaden
In December last year reports came out claiming Pakistanis held around $20 billion in cryptocurrency, supposedly more than what the Pakistan central bank holds in foreign reserves.
A document produced by the Pakistani policy advisory board claims that the country is lined up to earn billions of dollars from crypto-asset holders. As has been the problem for crypto in the East for some time, Pakistan first needs to create a suitable regulatory framework for cryptocurrencies.
Prospect of Cryptocurrencies for Pakistan
Cryptocurrencies offer the possibility to increase the national reserves in Pakistan. The document released by the Federation of Pakistan Chambers of Commerce (FPCCI) suggests that Pakistan could raise billions of dollars from crypto-assets owned by citizens and dual citizens. Furthermore, the report argues that Pakistan could use the assets to restock its national reserves.
The difficulty for Pakistan will be creating suitable regulations for crypto, as well as a national strategy to manage cryptocurrency. Not only will this benefit the Pakistani economy, but it will also be in the interests of the country at large, which boasts around 9 million cryptocurrency holders as of the end of 2021.
The FPCCI President Nasir Hayat Magoon stated “As per our research, Pakistanis have cryptocurrency worth $20 billion.” He also encouraged the government to devise a policy that would mean Pakistanis could cash crypto in Pakistan rather than Dubai.
The fast-moving cryptocurrency industry can be hard to keep up with, notably for governments. Magoon spoke about this, claiming the biggest problem facing the acting government was “not making decisions on time”, which is a feeling echoed by crypto enthusiasts globally.
