The Securities and Exchange Commission (SEC) and the Bank of Thailand (BOT) implement the 'crypto sandbox' program to help international tourists easily exchange digital assets for Thai baht.
This program is expected to boost tourism revenue and economic growth in Thailand by applying fintech policies friendly to cryptocurrency.
MAIN CONTENT
The cryptocurrency sandbox program helps tourists convert crypto to baht for convenient spending.
The SEC and BOT apply strict KYC, AML regulations, and spending limits to ensure financial safety.
What is Thailand's crypto sandbox program and what is its goal?
Mr. Narongchai Akrasanee, CEO of the SEC Thailand, affirmed that this is a strategic step to attract international tourists by facilitating the safe and legal exchange of cryptocurrency for baht.
The project was born in the context of Thailand expanding its cryptocurrency-friendly policies, expected to contribute to increasing tourism revenue and affirming its position as a leader in fintech in Southeast Asia.
How does the crypto sandbox program support tourists?
Thailand allows tourists with crypto such as Bitcoin to convert it into baht through licensed trading platforms, applying strict KYC and AML standards to ensure transparent and secure transactions.
'This program helps tourists maintain control of their digital assets and take advantage of the convenience of legal spending in the country.'
Mr. Somchai Supapong, Director of Technology at the Bank of Thailand, 2024
After exchanging, tourists can use QR codes or e-wallets in online payment environments, conveniently paying at stores or restaurants. Because Thailand prohibits direct payments with crypto, the sandbox creates a bridge to safely convert cryptocurrency to fiat currency.
What are the important regulations and limits in the sandbox?
According to SEC and BOT regulations, all services related to crypto need to be licensed and comply with strict anti-money laundering rules and customer verification. This is a protective measure for the financial ecosystem and tourists.
Tourists need to verify their identity before exchanging digital assets for baht to prevent fraudulent activities. Spending limits are clearly established to control cash flow and risks.
Type of spending Monthly limit (Baht) Estimated equivalent in USD Local stores, small eateries 50,000 1,375 Certified hotels, fine dining restaurants 500,000 13,750
The sandbox project has an 18-month trial period, which can be extended based on the regulatory agency's assessment of its effectiveness and safety.
What feedback has the sandbox program received?
The SEC and BOT have opened a public consultation until August 13, 2024, calling on stakeholders in the finance and tourism sectors to contribute to discussions to finalize the program.
'The crypto sandbox is not only a financial tool but also a stepping stone for Thailand to become a center for innovative fintech startups in the region.'
Mr. Pichai Chunhawat, Chairman of the Thai FinTech Development Council, 2024
Some tourism operators in Phuket express concerns about a lack of communication and related knowledge, questioning the extent of crypto implementation, along with the potential loosening of oversight leading to fraud.
However, experts evaluate this as a breakthrough project, which, if successful, could become a global trend, opening a new era for tourism and DeFi.
Frequently asked questions about the crypto sandbox program in Thailand
What is Thailand's crypto sandbox?
The crypto sandbox is a project that allows foreign tourists to exchange cryptocurrency for baht to use for spending in Thailand, closely monitored according to SEC and BOT regulations.
What types of cryptocurrency can tourists exchange?
The program prioritizes popular cryptocurrencies such as Bitcoin and Ethereum as regulated, but the list is still being finalized based on community feedback.
What is the maximum spending limit?
Tourists are allowed to spend a maximum of 50,000 baht/month at retail stores and 500,000 baht/month at hotels, fine dining restaurants, equivalent to about 1,375 USD and 13,750 USD.
How long is the project set to last?
The trial program lasts for 18 months starting from 2024, which can be extended based on evaluation results and feedback from stakeholders.
How does the Thai government ensure financial security?
The SEC and BOT require crypto service providers to have licenses, strictly apply KYC and AML, and monitor transactions to limit risks and abuse.
Source: https://tintucbitcoin.com/thai-lan-ho-tro-chi-tieu-crypto-bang-baht/
Thank you for reading this article!
Please Like, Comment, and Follow TinTucBitcoin to stay updated with the latest news about the cryptocurrency market and not miss any important information!
