Pahalgam Attack: Pakistan's dream of becoming a crypto hub will be shattered
Pahalgam Attack is currently a topic of discussion all over the world. Where the recent terrorist incident in Pahalgam, Kashmir has not only shocked India, but it has also caused huge damage to Pakistan's image at the international level. The brutal killing of 26 Indian tourists on the basis of religion by Pakistan-backed terrorists has generated outrage all over the world. This attack has marginalized another important issue, that is Pakistan's dream of becoming a Crypto Hub. Although Pakistan has taken many strategic steps in this direction, after this attack, its ambition now seems to be fading.
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Formation of PCC and Pakistan's Crypto Vision
Pakistan has recently established the Pakistan Crypto Council (PCC) which is headed by Finance Minister of Pakistan Muhammad Aurangzeb. The aim of this council is to develop crypto and blockchain technology in the country under a legal framework. It includes the State Bank of Pakistan, SECP and several other government departments. The main objective of the PCC is to create a safe, responsive and innovative crypto ecosystem.
In addition, Pakistan has also prepared to enter crypto mining. The government is considering giving attractive electricity rates to mining companies for the use of surplus electricity. At the same time, appointing Binance founder Changpeng Zhao (CZ) as Pakistan's strategic advisor has been considered a major international step in this direction.
International impact of Pahalgam Attack
The Pahalgam attack has badly affected Pakistan's image at the global level. India has already started strongly criticizing Pakistan at the United Nations and other international forums regarding this attack. On the one hand, while this has weakened Pakistan's diplomatic position, on the other hand, the confidence of investors planning to invest in Pakistan has also started to waver.
No international investor would want to invest their funds in a country where terrorism is openly supported and human rights are being violated. This situation directly affects the chances of Pakistan becoming a Crypto Hub. Along with this, pressure may also increase on experts and businessmen like CZ to distance themselves from Pakistan.
Threat to Pakistan's Crypto Strategy
The efforts being made by the Pakistan Crypto Council can only succeed if the political and security situation in the country is stable. But when on one hand terrorist activities are increasing in the country and on the other hand it is facing international criticism, then this dream can remain just a fantasy. No matter how important the appointment of an expert like CZ is, if the international community does not trust Pakistan, then no crypto hub can be created.
Energy crisis, shortage of foreign currency and political instability in Pakistan were already making this effort difficult. Now after the Pahalgam attack, another big shadow of terrorism has started looming over all these problems.