The Future of Cryptocurrency in Pakistan
Different people get engaged when it comes to the word "currency", as this is the main issue in Pakistan. Not only in Pakistan but India, Bangladesh, and other less developed countries are facing income issues. They don't have enough income to manipulate the values of their currencies and make their country a successful and happier one.
Surprisingly, technology is changing the future with of all under development and fully developed countries. Unfortunately, most of us are not aware of it, but it's the best way to stabilize a country's economy and change the conditions of people.
So today, in this piece of writing, we will discuss the future of cryptocurrency in Pakistan. But before starting with the details of facts and figures, let me know you what is cryptocurrency actually;
So, what is cryptocurrency?
Cryptocurrency is a type of digital currency that works online on a computer, mobile phone and clouds. This currency is not regulated by any law or regulation and doesn't ask you for special fees and schemes. So you can say a currency that the central government does not regulate is called cryptocurrency.
Nowadays, many cryptocurrencies in the market are leading the economies of many countries. Some of them are Ethereum, Bitcoin, Litecoin, Polka dot, Dogecoin and many more. All these cryptocurrencies have their own prices and rules for increasing and decreasing.
As these currencies are operated on blockchain technologies thus, they are complex coding and mathematical equations which ensures the safety of your currency and funds.
The Future of Crypto in Pakistan
Pakistan comes in the list of underdevelopment countries. But it is also an emerging market for weapons and technology. Due to the lack of knowledge and understanding of funds in cryptocurrency, Pakistan failed to accept and regulate it legally.
Basically, there were no allegations of fraudulent activity or any spamming. But as I said above, people in Pakistan are not thoroughly educated about cryptocurrency and its transaction. Thus, the State Bank of Pakistan declared a ban on cryptocurrency in 2018.
Though at the moment, this ban showed a more significant impact on dealers, but by the time, things started changing. As every smaller and larger country was accepting it and people were also arguing on social media about the legitimacy of cryptocurrency, the government of Pakistan considered the need of the hour and focused on its benefits.
In recent years, the government of Khyber Pakhtunkhwa announced to build crypto mining parks. This announcement gave rise to the predictions that soon in Pakistan, crypto would be entirely using and legitimate.
Also, the activist of Pakistan is now demanding the government to build crypto research centres and took advantage of them. Where this currency is making advancements in the market, it is also carrying a plethora of benefits.
Recently a social activist and show host Wakaar Zakaa claimed that he could vanish all the loans over Pakistan with the help of cryptocurrency. Moreover, he mainly emphasised the need for crypto in his tweets that crypto is the only way to end poverty in Pakistan. Thus, all these actions show that soon in the future, crypto will be legitimate in Pakistan.
Why is cryptocurrency becoming a demand of the era?
This is the most searched question throughout the internet that why crypto? Basically, it is similar to the concept that we used to visit other cities through horses and other animals in the past. But now we are using cars and jets; why? The answer is comfort and speed.
Now apply the same query toward your currency; we are using a currency that is getting down day by day. Simply check the past rates of Pakistani rupee with other countries and compare it with present value. It is getting devalued day by day due to several circumstances.
But here, to put some light on the benefits of cryptocurrency, have a look at these bullet points;
· The daily increase of value in all cryptocurrencies as compared to our local currency.
· No middle subsidiaries for transection or fees.
· There is no inflation due to no banks; handle your currency within your computer, mobiles, and cloud storage; it's easier.
· More secure than the traditional currency system as it operates on blockchain technologies. Also, there is no risk of stealing and burning money, which seems to be funny, but it's the core reason.
· Acceptance of all more prominent companies and investment in it.
· Mining and selling at the pace of your machines.
What makes Pakistan not accepting it legally?
It's not the reason that a country is lacking knowledge in crypto; that's why they do not involve in it. Basically, the economic system of a country is regulated by different authorities. So, we have to consider all the things before legalizing it. Some of the primary reasons for not legalizing it are;
· It boosts money laundering.
· People would never pay tax for their transactions.
· FATF List ranking issues.
All these things make Pakistan not accepting it. But western companies are now investing in Pakistan for research and establishment of crypto. So Pakistan government can also devise a plan for its proper implementation and regulation.