This Wednesday, Sindh High Court (SHC) ordered SBP to Lift Cryptocurrency Ban. In April 2018, the State Bank of Pakistan banned cryptocurrencies and BTC in Pakistan. Now, SHC took up a petition against the ban of digital currency in Pakistan. SHC orders the State Bank to lift the Cryptocurrencies ban.
Upon hearing, the leader of the bench, Justice Muhammad Iqbal took the notice of restrictions on the use of digital and online currencies. So, he stated that:
Pakistan is behind in the field of modern technology and need aggressive technological advancement. So, if we ban digital and cryptocurrency in Pakistan, we will lag behind from the rest of the world. Consequently, we will have to face and bear serious consequences
Additionally, Justice Kalhoro said that:
I am unable to understand why SBP considers digital money as illegal while it is popular globally and world is using it
In response, the SBP representative states that digital currency is totally legal in Pakistan but we require a regulatory body. So, we have to introduce the cryptocurrency and BTC regulatory authority. SBP representative’s this response led another question by Justice Muhammad Iqbal that
Why it is illegal in Pakistan while it is legal globally and many countries are allowing it
During the early months of 2018, SBP issued an advisory notice to commercial banks regarding the use of online currency in Pakistan. So, all commercial banks terminated the services related o digital currency in Pakistan. Within one year of this ban, authorities took the steps to legalize online currency.
Digital Currency Future For Pakistan
However, a plan for issuing the licensing scheme for Electronic Money Institutions (EMIs) was proposed to regulate the digital money. But authorities did not take any step to lift the electronic money ban and nothing was done in this regard. Moreover, SHC emphasized that authorities should bring learn how other countries are monitoring and controlling digital currencies. State Bank needs to record the recommendation to establish the regulatory authority as soon as possible in Pakistan. This is a piece of great news for Pakistanis related to digital currencies. As SHC orders SBP to Lift Cryptocurrency Ban, we can hope for the better digital currency future of Pakistan.