As of January 8, 2025, Pakistan has made significant strides in the cryptocurrency sector:
Legalization of Cryptocurrency
In November 2024, the Pakistani government approved amendments to the State Bank of Pakistan (SBP) Act, enabling the central bank to issue digital currencies. This marks a substantial policy shift from previous stances that were resistant to cryptocurrency adoption.
Regulatory Developments
The SBP has proposed a comprehensive framework to recognize digital assets, including cryptocurrencies, as legal currency in Pakistan. This initiative aims to integrate digital currencies into the national financial system, promoting innovation and financial inclusion.
Security Concerns
Despite these advancements, challenges persist. On December 25, 2024, a cryptocurrency trader in Karachi was kidnapped and forced to transfer $340,000 through his Binance account. The incident underscores the need for robust security measures and regulatory oversight to protect investors and maintain public trust in the cryptocurrency ecosystem.
These developments indicate Pakistan's commitment to embracing digital finance while addressing associated challenges to ensure a secure and regulated environment for cryptocurrency activities.
