The Pakistan Cricket Board (PCB) has been asked by the State Bank of Pakistan (SBP) to create a code of conduct for its franchises that would require them to uphold local laws while choosing foreign sponsors.
It was said that PCB had hired Best Fintech Investment Coin (BFIC) as the “Official Technology Partner” of Pakistan Super League (PSL) Season 8 according to a letter the central bank’s Exchange Policy Department sent to PCB’s Chief Operational Officer.
SBP to Look Into Involvement of Betting Companies
According to the central bank, BFIC is a cryptocurrency, and in accordance with SBP’s BPRD Circular No. 03 from April 6, 2018, all banks, DFIS, microfinance banks, and payment system operators and payment service providers are not permitted to trade in or promote virtual currencies.
Also Read: Babar, Rizwan, Afridi, Fakhar, and Haris rested for T20Is against Afghanistan
This sums up SBP’s regulatory approach to cryptocurrency and virtual assets. Consequently, marketing a cryptocurrency through the PSL season 8 event would not only go against the foregoing position but would also persuade Pakistani spectators to engage with the illegal world of virtual and cryptocurrencies.
SBP further emphasized that 1XBAT has been appointed as the Titanium Sponsor of Karachi Kings. It further stated that 1XBAT looks to be a clone brand of 1XBET, a sports betting website that enables customers to wager on a broad range of well-liked sports.
According to the SBP, both of these websites/domains are reportedly under foreign control, hence any use of their services by Pakistanis living there would cause a loss of the nation’s valuable foreign currency.
Also Read: PCB announces Shadab Khan Lead as a captain for Afghanistan T20I series
Any transfer of monies from these entities’ or PCB’s operations in Pakistan will be in violation of the Foreign Exchange Regulations Act, 1947, since none of them has acquired approval from SBP to take any money they have made from resident Pakistanis outside of Pakistan.
Considering the aforementioned, SBP has further asked PCB to guarantee that these platforms do not provide any services in Pakistan, which may cause money to leave Pakistan (even through informal channels).
Also Read: India, and Australia brace for the unknowns at the WTC final
PCB’s response
A spokeswoman for PCB responded by stating that BFIC was no longer the official technical partner. According to the spokesman, PCB is categorically opposed to the marketing of alcohol, tobacco, gambling, and betting, and it is assumed that all sponsors follow this policy.
The Pakistan Electronic Media Regulatory Authority (PEMRA), according to the PCB spokesperson, would have prevented Pakistan Television Corporation (PTV) from signing an agreement with 1XBAT if the latter was engaged in any questionable activities. The PCB spokesperson also denied that 1XBAT is a betting website.