The State Bank of Pakistan (SBP) has announced plans to legalize virtual assets and roll out a central bank-backed digital currency.
During a briefing to the Senate Finance Committee, chaired by Senator Saleem Mandviwalla, Deputy Governor Dr. Inayat Hussain stated that the advisory banning cryptocurrencies will be withdrawn, clearing the path for a regulated framework for digital assets.
He also revealed that the central bank has begun work on a pilot project for the Digital Pak Rupee, which will serve as the electronic version of the national currency. The deputy governor further noted that this digital rupee is expected to play a role in future crypto transactions once regulations are fully enforced.
During the meeting, the committee approved important parts of the Virtual Asset Authority Bill, which will provide a legal framework for cryptocurrency buying and selling in Pakistan. Once the rules are completed, crypto trade will officially be recognized and regulated.
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Senator Saleem Mandviwala added that the value of the Digital Pak Rupee would remain equal to the regular Pakistani rupee, and that cash already present in banks will eventually be shifted into the digital system.
