According to the report published by English-language Pakistani news outlet “The Express Tribune” on 1st April, Pakistan has established the latest crypto regulations as per the recommendation by Financial Action Task Force (FATF). The nation has implemented such rules in order to upgrade track of fighting financial crime.
As per the report, the federal government of Pakistan established Electronic Money Institutions (EMIs) regulations, but the same has not been disclosed yet.
Seeking the ways to diminish crimes like money laundering, the central bank of Pakistan has published the drafted regulations in last year October. EMIs will help those crypto regulatory frameworks to meet the prerequisites in order to get approval from the Pakistani Government. According to the news media The Tribune, an anonymous source has remarked:
“These regulations will help to combat money laundering and terrorism financing while it will also help regulation of digital currency throughout the country.”
FATF noted insufficient progress on the establishment of the regulatory framework from the nation, in Feb 2019. And thus the Financial Action Task Force urged Pakistan to be done with the action plan giving a timeline till May 2019. The firms have to follow those regulations; its employees will go through scrutiny. This will implement several ways to protect funds of users and fulfill customer due diligence which involves maintaining a track record of personal details such as name, ID card number, address and telephone number.
Headquartered in Paris, FATF is also known as Groupe d’action financière in French. Founded in 1989, FATF is an intergovernmental organization as an initiative of G7 in order to establish new policies to reduce money laundering. Later in the year 2001, it included terror financing. FATF had 16 members at the time of its formation which has increased to 37 members by the year 2016. The regulatory watchdogs of FATF will be reportedly laying crypto regulation s for international cryptos till June 2019.