Central Bank Digital Currency (CBDC) Already Rolled out in Thailand
By Luke Flowers – Crypto Broker
Like any country, buying Bitcoin in Thailand is growing in popularity, so much so that central banks are already rolling out their own digital currency (CBDC). An announcement came from the Bank of Thailand (BOT) who are closer to integrating digital currencies into their ecosystem, stating that they are “already using” its token for corporate transfers “with some big businesses.”
Vachira Arromdee, assistant governor of the BOT, added that they will begin employing the CBDC for transactions with the Hong Kong Monetary Authority (HKMA) in September of this year. Arromdee’s comments went on to address those looking to buy and sell cryptocurrency in Thailand, saying that “The Central bank is also thinking about expanding the use of the cryptocurrency to the general public” before agreeing that “a comprehensive study must be completed before taking such action.”
These remarks have brought further assurance to the fact that Thailand is moving closer to a digital currency and is now entering its next phase. The BOT is also planning to utilize the token for cross-border transactions. Arromdee set out further details regarding Thailand’s business plans with the HKMA, noting that the digital token central to this will be a ‘stable’ currency, backed by tangible assets including the country’s international reserve.
In addition to this, the assistant governor added that the “broad public use of digital currency via e-wallets is a big issue,” reassuring the community that the BOT will “look carefully at the pros and cons” of implementation, “including its impact on financial stability.”
Arromdee continued to acknowledge the level of adaptation traditional systems may need to show, highlighting the possible “negative impacts on commercial banks” in that it may eliminate third party dependency for financial transactions.