The Pakistani province of Khyber Pakhtunkhwa has formed a federal committee to create a new cryptocurrency policy including government-backed crypto mining.
March 18, 2021 | AtoZ Markets – Pilot projects for the extraction of cryptocurrency in the Pakistani province of Khyber Pakhtunkhwa, or KP, will be overseen by a specially created federal committee, according to the report by Reuters.
According to the adviser to the chief minister of the province for information technology Ziaullah Bangash, the committee will develop legislative regulation of the cryptocurrency industry. The first meeting of the committee took place on March 17.
First meeting of the KP Crypto Advisory Committee held at KPITB. KP Government on the directions and guidance of CM KP @IMMahmoodKhan is taking serious steps regarding #Cryptocurrency and #Cryptomining. We're consulting with all stakeholders and experts for this initiative. pic.twitter.com/HjyIrOc90p— Zia Ullah Bangash (@ZiaBangashPTI) March 17, 2021
The structure of the new association will include coordinators, technical specialists and blockchain analysts. The latter will consider the possibility of integrating DLT technology into various departments of government. The committee also organizes training seminars for the population.
As part of the new policy, the committee will test two mining farms based on hydroelectric power plants and prepare a report on their work.
“People are already contacting us for investments, and we want not only them, but also the province to make money on this,” Bangash said.
According to him, the direct investment in the cryptocurrency industry will become possible only after its full legalization in the country.
“The government of the country is not yet involved in this, but the residents of Pakistan are already developing the sector, mining or trading cryptocurrencies, and receive income,” Bangash added.
Recall that in April 2018, the central bank of Pakistan banned transactions with cryptocurrencies, stating that they are not legal tender.
In December 2020, Pakistan’s National Assembly asked federal authorities to legalize digital asset ownership and mining.
In January 2021, the Khyber Pakhtunkhwa Provincial Legislature passed a law establishing two miners to mine bitcoin from budget funds. Also, local authorities issued a separate act that allows private entrepreneurs to issue digital currencies without legal consequences.
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