Pakistani authorities are mulling over exploring blockchain technology for remittances in the face of steep fees and delays associated with traditional offerings.
Pakistani official Bilal bin Saqib disclosed in a report that the possibility of blockchain-based remittances offers significant promise for Pakistan. Saquib is the chief advisor to the newly minted Pakistan Crypto Council (PCC), an organization leading the charge for developing real-world blockchain applications.
According to Saqib, applying blockchain in cross-border transactions and remittances will have the most impact in Pakistan. He points to the sheer volume of funds flowing into Pakistan from citizens in the United States and the United Kingdom.
In 2024 alone, remittance inflows reached a record high of $3.1 billion, but Saqib says that as much as 5% went toward payment fees. Besides steep fees, traditional remittance channels are plagued by delay, making them unsuitable for modern commerce.
The PCC will spearhead efforts to explore blockchain-based remittance systems, testing the offerings before obtaining government approvals.
“The PCC will investigate blockchain-based remittance solutions to reduce costs and delays,” said Saqib.
One key part of the PCC’s plan is to disintermediate correspondent banks and introduce real-time payments. The PCC says it will proceed with studies in approved regulatory sandboxes while maintaining compliance with existing anti-money laundering (AML) and Know Your Customer (KYC) rules.
Pakistan will have to follow the Financial Action Task Force (FATF) guidelines as it considers on-chain remittances, with Saqib downplaying plans for a Strategic Bitcoin Reserve.
Alongside the push for blockchain-based remittances, the PCC is keen on deepening the local talent pool to drive Web3 adoption metrics.
“Additionally, we’ll invest in blockchain education, upskilling programs, and Web3 development to cultivate talent, boost employment, and drive economic growth,” said Saqib.
Despite a blanket ban on digital assets, the South Asian country still embraces the technology behind its financial ecosystems. In 2023, the State Bank of Pakistan (SBP) approved blockchain-based KYC processes for commercial banks.
Furthermore, the country steers toward a central bank digital currency (CBDC) with blockchain as the foundational layer. Amid the rising use cases, there is speculation that Pakistan will begin warming up to digital assets after passing a new bill.
Iran revolutionizes sports development with AI
In the Middle East, Iranian authorities have established an emerging technology hub at Sharif University dedicated to sports development as the country marches toward digitalization.
The hub, named Hamta, features a combination of artificial intelligence (AI), metaverse, and blockchain solutions. These emerging technologies will expand the local sports industry in line with Iran’s ambitions to digitalize every facet of its economy.
Several high-profile individuals attended the launch on Monday, with Iranian Minister of Sports and Youth Ahmad Donyamali and Sharif University President Abbas Mousavi present at the event.
Hamta, nestled in the Sharif University of Technology in Tehran, will offer major advancement for sports in the Middle Eastern country. Its AI-based systems will support Iranian athletes in optimizing their training regimens, monitoring performance metrics, and developing personalized training schedules.
Apart from AI, the introduction of the metaverse is expected to revolutionize fan engagement via virtual reality (VR)-based events and non-fungible tokens (NFTs). On the players’ side, the hub’s metaverse functionalities will offer VR-based coaching, injury recovery and prevention, as well as game-day strategy creation.
Hossein Afshar, Vice President for Scientific, Technological, and Knowledge-Based Economy, noted the future of sports will revolve around AI. For Afshar, Olympic events in the future will be nothing like the present games but could take on “an AI-driven format” birthing new sports.
With blockchain, Iran’s grassroots sports ecosystem can participate in decentralized fundraising activities, while the prospect of tokenized investment is an alluring option. Furthermore, the hub will promote blockchain-based ticketing and novel smart contract applications for sporting events and athletes.
Iran has moved up three positions to occupy 91st place in Oxford’s Government AI Readiness Index. The country seeks to increase its ranking via infrastructure and human capital investments through partnerships and training initiatives.
While Iran is carefully adopting new technologies, it is beginning to gain momentum. The central bank is working on a CBDC to support cash use in the country. Furthermore, the country is marching toward complete regulations for digital assets as it explores new ways to evade Western sanctions. It has also opened talks with Russia over potential avenues to sidestep sanctions using blockchain and CBDCs.
In order for artificial intelligence (AI) to work right within the law and thrive in the face of growing challenges, it needs to integrate an enterprise blockchain system that ensures data input quality and ownership—allowing it to keep data safe while also guaranteeing the immutability of data. Check out CoinGeek’s coverage on this emerging tech to learn more why Enterprise blockchain will be the backbone of AI.
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