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There are some countries in the world which are forbidding transactions with the cryptocurrency. Pakistan is one of them to hamper the digital currency. The State bank of Pakistan has banned the transaction with the digital currency.
Illegality Of Cryptocurrency
The central bank of Pakistan has given a verdict that cryptocurrency is totally illegal in Pakistan. The state bank of Pakistan gives the strict instructions to the banks and financial organizations that they cannot gain cryptocurrency. So, it is necessary to refuse to take digital currency from the customers. If the people will make transaction outside the Pakistan against of order of State bank then they will have to face prosecution.
Restriction On Transaction With The Cryptocurrency
The words of the State bank of Pakistan explains that there is no one who is authorized to transact and recognize the virtual currencies/coins/tokens such as Bitcoin, Litecoin, Pakcoin, OneCoin, Dashon, Pay Diamond etc. All types of the activities, such as sale, purchase, exchange, and investment, are illegal in Pakistan that is made with the help of cryptocurrency.
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Risks Associated With Digital Currency
The state bank of Pakistan has defined that there are many more risks associated with the virtual currency. Digital currency is not strong money and not intangible form so that’s why it has volatile nature. There are much more speculations because it is not a stable money. So, the issuance of licensing of cryptocurrency related to any digital coin or token is illegal in Pakistan. So, no entity can work on the digital currency in Pakistan.
Action Of The Indian Central Bank
Indian central bank takes action on the subordinate banks against cryptocurrency. The Indian central bank has abolished the digital currency from the banking and financial system.
Pakistan And India Both Are On the Same Page
India and Pakistan’s main banking administration takes the action on the illegal activities through the digital currency. There is a no sound and strong system to limit the illegal activities in the result of virtual currency. But on the other hand, there is a number of illegal activities which are germinated because of cryptocurrency. But there is no structure of restricting them. So, the central banks of both countries are limiting the virtual currency to prevent the illegal happenings.