Bank Alfalah warning customers against carrying out crypto transactions

Due to the recent uncertainties of the crypto ecosystem in Pakistan, Bank Alfalah has officially started sending warnings in the form of SMS alerts to not carry out any cryptocurrency transactions through its banking channels. The text message mentioned the following:

“Dear Customer, Virtual Currencies/Coins/Tokens, etc. are not legal tender, issued or guaranteed by the Govt of Pakistan and State Bank of Pakistan (SBP) has not authorized or licensed any individual or entity for the same. Kindly avoid conducting such transactions from any channel pertaining to Bank Alfalah.”

This is due to the report that was submitted earlier on by the State Bank of Pakistan to the Sindh High Court which stated that cryptocurrencies in the country are illegal. Moreover, nearly a week ago the Federal Investigation Agency (FIA) had issued a notice to Binance regarding a major scam that involved fraudsters stealing over $100 million from Pakistani investors via Binance-linked applications.

Due to these factors, the government is most likely to ensure a legal framework sooner or later where people can properly invest in the crypto ecosystem.