Thailand is preparing to roll out a pilot program in 2025, allowing tourists in Phuket to make transactions using Bitcoin (BTC). The initiative aims to integrate digital currencies into everyday payments and enhance the country’s appeal to international visitors.
Deputy Prime Minister and Finance Minister Pichai Chunhavajira announced the plan on 8 January during a seminar organised by the Marketing Association of Thailand, as reported by Nation Thailand. The program will provide an alternative payment option for foreign tourists, reflecting Thailand’s efforts to modernise its financial ecosystem.
Pilot Program Within Legal Framework
Pichai emphasised that the pilot will operate within Thailand’s existing legal frameworks, with no need for amendments to current laws. He reassured that the initiative would not involve any illegal activities, ensuring compliance with existing regulations.
The trial will allow tourists to register Bitcoin through a licensed Thai exchange and verify their identities before making purchases. To simplify the process, a clearinghouse will convert Bitcoin transactions into Thai baht, providing a seamless experience for users and merchants alike.
Boosting Competitiveness in Tourism
The initiative is designed to make digital transactions more accessible in tourism-centric cities like Phuket. According to Pichai, embracing cryptocurrency payments will help Thailand remain competitive on the global stage and attract more international business opportunities.
He highlighted the practicality of the program by citing an example involving refugees from the Russia-Ukraine conflict. These individuals could use Bitcoin to purchase property in Thailand, avoiding the challenges associated with converting funds into Thai baht.
Former Prime Minister Advocates Crypto Innovation
The push for cryptocurrency integration is not new to Thailand. In December 2024, former Prime Minister Thaksin Shinawatra urged the government to explore digital assets and conduct sandbox experimentation. Speaking at a lecture, Shinawatra stressed the importance of staying ahead in the global shift towards digitisation while cautioning against direct investment in cryptocurrencies.
He also pointed to geopolitical uncertainties, such as potential trade tariffs under the incoming Donald Trump administration in the United States, and suggested that adopting digital assets could serve as a strategic response.
Regulatory Developments in Thailand’s Crypto Landscape
Thailand’s financial sector has been gearing up for a shift towards legitimising digital assets. Nirun Fuwattananukul, CEO of Binance Thailand, highlighted this trend in an opinion piece published in October 2024. He discussed the country’s Securities and Exchange Commission’s (SEC) proposed regulations to expand the scope of funds eligible to invest in digital assets.
Fuwattananukul noted that these regulatory efforts aim to create a mature ecosystem where traditional finance and digital assets coexist. He added that legitimising cryptocurrencies like Bitcoin goes beyond adoption, fostering a financial environment that integrates modern and traditional systems.
A Step Towards Digital Modernisation
The pilot program in Phuket represents a significant step for Thailand as it embraces the digital economy. By offering an alternative payment option for tourists and streamlining cryptocurrency transactions, the initiative seeks to position the country as a forward-thinking destination for global travellers. With its focus on innovation and compliance, Thailand is making strides in aligning its financial systems with the demands of the digital era.
