Islamabad:
The federal government has decided to establish Pakistan Virtual Assets Regulatory Authority (PVARA) to oversee all questions related to virtual assets, including licenses and cryptocurrency regulations, officials announced on Monday.
According to the authorities, the new body will manage the license process for cryptographic companies, the supervision of virtual asset service providers (Vasp) and will monitor all related activities in accordance with the standards of the Financial Action Working Group (FATF) and the International Monetary Fund (IMF).
The officials said that the license process will not be completed for at least three additional months, because the question was “sensitive” and required meticulous compliance with international protocols.
They added that consultations were underway with countries where cryptocurrency operations are already in place. The key responsibility of authority would be to prevent money laundering. It will keep the stories and recordings of user transactions, will monitor customer activity and have real -time access to the information of approved people.
The PVARA will also exchange information with national and foreign institutions, with the sharing of data abroad subject to the approval of the federal government.
The authority will frame the directives in accordance with the standards of the FACF and will be coordinated with other agencies to ensure strict compliance. It will regulate all aspects of virtual asset laws in Pakistan, supervise service providers and will act as the central organization for the implementation of the rules and the surveillance of the sector.
