Pakistan expected to make billions from cryptocurrency – emerging markets bitcoin news

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According to a document produced by a Pakistani policy advisory council, the country is likely to earn billions of dollars from holders of crypto assets. Yet, for this to happen, the country must first create the right regulatory framework for crypto assets.

Cryptocurrencies Could Increase Reserves

Pakistan could potentially raise billions of dollars from crypto assets held by its nationals or residents with dual citizenship, said a policy document produced by the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) .

According to a report published in The Business Recorder, the document titled “Prospect of Cryptocurrencies: A Context of Pakistan Policy Brief” claims that Pakistan could also use crypto assets to help increase the country’s reserves.

However, before adopting the recommendations of the policy document, Pakistan needs to develop a regulatory framework as well as a national cryptocurrency strategy. This, according to the report, must be done in order to protect the country’s economic interests.

Regarding the volatility of cryptocurrencies, the policy document would recommend their recognition as an asset class. In addition, the report also explains how cryptocurrency exchange-traded funds (ETFs) are likely to attract domestic and foreign investors. Such a crypto ETF could apparently help the Pakistan Stock Exchange regain its position among emerging economies.

On the flip side, the report argues that Pakistan’s failure to embrace crypto could cause cryptocurrency holders to move their assets to countries more favorable to digital currencies.

The Business Recorder report reveals that the Financial Action Task Force (FATF) has also called on Pakistani authorities to consider regulating cryptocurrencies.

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Terence zimwara

Terence Zimwara is an award winning journalist, author and writer from Zimbabwe. He has written extensively on the economic problems of some African countries as well as how digital currencies can provide Africans with an escape route.

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