KARACHI: Pakistani officials are being convinced to establish a legislative framework for the formalisation of cryptocurrency trading by Riyadh Rain Financial, a trading platform for cryptocurrencies.
Trading in crypto assets, or digital currencies in which transactions are validated and recorded by a decentralised system, is now taking place in a regulatory “no man’s land,” according to Rain Financial Country General Manager Zeeshan Ahmed.
Has the government condemned cryptocurrency? a former governor of the central bank, stated in March that adopting cryptocurrency had more risks than rewards. Yesterday, the central bank formalised its warning to the public to exercise caution and avoid trading cryptocurrencies.Negotiations are under progress. These are significant decisions with many thoughts and proposals, Mr. Ahmed said, hoping that the authorities would see the advantages of formalising an action that already took place outside the purview of regulation.
According to the platform website Chainalysis, Pakistanis made over $604 million in profits from cryptocurrency trading in 2021. The Global Crypto Adoption Index places Pakistan among the top nations. This is true even though the central bank has not authorised any exchanges to allow for the trade of cryptocurrencies because it does not recognise them as legal cash.
