Thaksin Shinawatra, former Prime Minister of Thailand recently proposed a Bitcoin Payment Project to boost Thailand’s competitiveness and make the Asian country more attractive to Tech-savvy visitors.
The proposal was acknowledged by the Binance Unit in Thailand which warned that the Bank of Thailand needs to study first the risks associated with such a move before the relevant bodies proceed with it.
Nirun Fuwattananukul, The Chief Executive of Gulf Binance speaking to Local media explained the significance of Thailand using Phuket as a Bitcoin sandbox for tourism and how that would positively impact the digital asset industry.
“It reflects not only the momentum of global crypto adoption but also demonstrates that leaders at the highest level are embracing these transformative technologies. As more countries adopt digital assets and cryptocurrencies, Thailand must not be left behind,” he said.
“Given our country’s reliance on tourism and foreign inflows, integrating cryptocurrencies into Phuket’s economy could align well with Thailand’s strategic strengths, potentially attracting tech-savvy visitors and investors,” Mr Nirun added.
Regulatory Approach Key to Success
Mr. Nirun explained that despite the beauty of cryptocurrency as an emerging technology. It is still early days for the industry and there are a lot of risks associated with the technology.
He believes a Sandbox approach is a win-win for the government, Industry players, and end users.
“Implementing a sandbox approach is a prudent strategy. It provides a controlled environment where regulatory authorities can closely monitor and assess the implications, while businesses and consumers gain practical experience.”
This approach ensures that any risks are thoroughly understood and managed before considering broader nationwide adoption. Mr. Nirun stated
Thailand to Become Regional Leader in Digital Innovation
A successful Bitcoin payment Pilot project could see Thailand position itself as the Regional leader in Digital Innovation. The Gulf Binance chief explained that Bitcoin payment is not new and is already being implemented in many countries, such as the US and Japan.
He believes Thailand can learn from these countries’ experiences and craft a solution that fits the country’s realities.
Mr Nirun however pointed out that integrating Bitcoin Payment in Thailand will present a unique challenge given Thailand’s restricted currency system.
He highlighted key areas of consideration while integrating Bitcoin payment in the country. They include potential impact on currency controls, capital flows, and monetary policy.
The adoption of crypto payments without adequate regulatory checks could disrupt traditional financial mechanisms or challenge the Central bank’s ability to dispatch its duties.
El Salvador, US and Now Thailand ?
The list of jurisdictions embracing cryptocurrency and launching initiatives powered by blockchain technology continues to grow expanding the real-world use case of crypto and making a stronger case for the industry.
El Salvador under Nayib Bukele adopted Bitcoin as a reserve currency stocking up a reserve by buying finite amounts of Bitcoin Daily.
The US president Elect Donald Trump has promised to set up a strategic Bitcoin Reserve upon his assumption into office to rival China’s growing influence in the industry.
The proposal by Thailand’s Ex-Prime Minister marks a significant step by the country in opening its doors to cryptocurrency and making the best of it.
