The Blockchain Exploration Council for billions of dollars from abroad, the counselor says

Pakistan, one of the 10 best transfers from abroad, may benefit from Blockchain technology to simplify the process, Bilal bin Sakib, chief adviser to the Minister of Finance And a member of the newly established Pakistan Crystate Council (PCC), said Monday.

The Pakistanis abroad sent more than $ 31 billion in 2023-24 via traditional channels that are often slow and expensive. The fees can exceed 5 %.

The transfers are the profits that immigrants send to the homeland, either as criticism or commodities. Money from the outside is the lifeline in many countries, where Supporting a temporary store During crises and a potential driver for sustainable growth.

“In Blockchain’s conversion solutions to reduce costs and delay,” he said. “In addition, we will invest in Blockchain education, Upskling programs, Web3 Development for Talent Development, Employment Promotion, and Poisoning Economic Growth.”

Blockchain technology can improve money transfers from abroad through non -fatal entities such as correspondence banks, which may significantly reduce the cost of transactions across the border, Note OECD In 2020.

Trading in cryptocurrencies and stablecoins are still prohibited in Pakistan under the general circulation of 2018 from the State Bank in Pakistan (SBP), which prohibits financial institutions from facilitating encryption transactions.

However, the country is one of the five Asian countries that appeared in the 2024 global encryption index. A large percentage of the population is the use of digital assets to hedge against inflation and volatility in the foreign exchange rate and the broader economy.

“This reflects a great demand despite the organizational vacuum,” Sakb said. “PCC aims to open these unexploited capabilities by defending a clear and progressive organizational framework.”

PCC also explores initiatives such as the real world assets icon and create regulatory sandwiches while ensuring compliance with the Financial Labor Squad standards. FATF removed Pakistan from the gray list in 2022.

“Without organization, it can facilitate the illegal outflow of encryption, without organization, that cryptocurrency can facilitate transactions across the unintended border, and the exacerbation of the dollar deficiency. The first step of PCC is to expand the scope of strong and transparent legislation,” he said.

Organizational policies began to develop worldwide, including in Southeast Asia, following President Donald Trump’s support for digital assets after winning the US presidential elections.

Last week, Trump announced plans for the strategic bitcoin reserve, which will be formed from BTC and other coins that were seized during enforcement procedures. SAQIB was not sure if this step was suitable for Pakistan.

“While the construction of the BTC reserves of seized assets may be attractive, the enforcement of the encryption in Pakistan is emerging, and the illegal property is rarely intercepted. Any move towards a strategic reserve requires an accurate dialogue with the International Monetary Fund and FATF to avoid exposure to international support or Pakistan after birth.”