Islamabad:
The Federal Government has decided to establish the regulatory authority of Virtual Assets of Pakistan (PVARA) to supervise all matters related to virtual assets, including licenses and the regulation of cryptocurrencies, authorities said on Monday.
According to the authorities, the new agency will manage the license process for cryptographic companies, supervising virtual asset services (VASP) providers and monitor all related activities online to the standards of the Financial Action Task Force (FATF) and the International Monetary Fund (IMF).
The authorities said that the license process will not be completed for at least three months, since the matter was “sensitive” and required careful compliance with international protocols.
They added that the consultations were underway with countries where there are already cryptocurrency operations. The key responsibility of the authority would be to avoid money laundering. You will keep the records and registers of user transactions, monitor customer activity and will have real time access to the information of people with license.
PVARA will also exchange information with national and foreign institutions, with data data abroad subject to the approval of the federal government.
The authority will frame the guidelines in accordance with FATF standards and coordinate with other agencies to guarantee strict compliance. It will regulate all aspects of virtual asset laws in Pakistan, supervise service providers and act as the central body to implement rules and monitor the sector.
