Pakistan to Regulate Crypto Firms with New License Scheme

written by

Support free journalists: > send a tip

After a period of uncertainty and haranguing from international organizations, Pakistan has now declared that it will put in place complete regulations for the cryptocurrency industry.

As reported today by the Express Tribune citing Ministry of Finance sources, the federal government will now bring in regulations for Electronic Money Institutions (EMIs), based on recommendations from the G7’s Financial Action Task Force (FATF).

The sources were quoted:

“These regulations will help combating money laundering and terrorism financing while it will also help regulation of digital currency throughout the country.”

The new framework has as yet been kept from the public, although the nation’s central bank had published draft regulations last October, after an initial move to curb crypto by banning Bitcoin in mid-2018. The new rules would require EMIs to meet certain requirements to receive a nationally issued license. Firms that did not fall in line would face either suspension or get their licenses revoked.

Among some of the requirements were those related to capital, mandatory screening of executives, security measures to protect user funds and strict customer due diligence and KYC procedures, such as personal details, national registration, address and telephone contact.

Last month, Bitcoin News spoke exclusively to Pakistani celebrity Waqar Zaka, who claimed that his startup’s work with blockchain and philanthropy was instrumental in swaying the government’s attitude towards cryptocurrency, leading towards a full legalization.

Pakistan Finance Minister Asad Umar had issued recommendations to legalize crypto trading and business, lining p some 5,000 digital currency exchanges for registration. Cryptocurrencies will be classified as investments and net gains will be subject to taxation.

 

Follow BitcoinNews.com on Twitter: @bitcoinnewscom

Telegram Alerts from BitcoinNews.com: https://t.me/bconews

Want to advertise or get published on BitcoinNews.com? – View our Media Kit PDF here.

Image Courtesy: bitcoinnews.com

Help spread this article :)

BitcoinNews.com is NOT INVESTMENT ADVICE

Opinions expressed are entirely their own and do not necessarily reflect those of BitcoinNews.com

For informational purposes only. Individuals and entities should not construe any information on this site as investment, financial, legal, tax, accounting or other advice. Information provided does not constitute a recommendation or endorsement by BitcoinNews.com to buy or sell bitcoin, cryptocurrencies or other financial instruments. Forecasts are inherently limited and cannot be relied upon. Do your own research and consult a professional advisor. The opinion of authors do not reflect those of BitcoinNews.com 

   Advertisement

Latest on Bitcoin News

   Advertisement