Thailand will soon allow foreign tourists to convert their digital assets into Thai Baht (THB) to spend during their time in the country.
Part of Thailand’s Tourist DigiPay initiative, the regulated digital payment system is a joint development by the Securities and Exchange Commission (SEC), the Bank of Thailand and the Anti-Money Laundering Office (Amlo).
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Thailand to allow foreign tourists to convert cryptocurrencies and other digital assets to THB to spend in the country
According to the Thai-based publication Bangkok Post, tourists can top up their wallets up to THB500,000 (~RM64,550) a month per account, with the project touted as an alternative payment option for foreign travellers while promoting wider use of digital innovation in the Thai economy.
Nirun Fuwattananukul, chief executive of Binance TH by Gulf Binance, said that while many countries are beginning to allow crypto payments, Thailand is taking a pragmatic approach through a regulatory sandbox, converting crypto into THB for use in a controlled and compliant way.
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He added that the SEC, central bank and Amlo have also taken measures to protect the public from money laundering, as Tourist Digipay employs strict anti-money laundering safeguards.
How Tourist DigiPay will be implemented
To use the platform, tourists must first verify their identities and the purposes of transactions through documentation and biometric data. Once verified, tourists can open two linked wallets, either a digital asset wallet or a tourist e-money wallet, allowing seamless conversion of cryptocurrencies into THB for spending.
Moreover, payments through PromptPay QR codes are capped at THB500,000 (~RM64,550) a month per account for merchant QR codes, and THB50,000 (~RM6,455) a month per account for small vendors using personal QR codes.
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However, Tourist DigiPay can’t be used at high-risk businesses. These include gold or jewellery shops, amulet and antique dealers, casinos, or entertainment venues.
Bangkok Post quoted the SEC as saying in a statement that digital asset operators must use blockchain forensic tools to trace and analyse transaction histories, identify suspicious wallets, and detect potential links to illegal activities or money laundering.
A pilot programme for Tourist DigiPay is set to commence for 18 months.
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So, what do you guys think of this move by Thailand? Do share your thoughts with us in the comments.Ā
