March 29, 2024

Thailand will attract private companies to test the state digital currency

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Thailand will attract private companies to test the state digital currency

The Central Bank of Thailand intends to test its own digital currency at the end of 2022. Both private companies and public organizations will take part in the test.

Bank of Thailand (BOT) will speed up developmentown digital currency (CBDC), intended also for retail trade. This will happen before the launch of a pilot version of the currency at the end of 2022. It is reported that the use of retail digital currency will initially be carried out between commercial companies on a limited scale:

“BOT will evaluate the benefits and risks of the pilot project to formulate appropriate policies and improve the design of the digital currency in the future.”

The pilot project will be carried out in two stages.At the first stage, called the Foundation track, the currency will be tested in transactions where cash is usually used, that is, when paying for goods and services. There will be only 10,000 participants at this stage. Three companies will take part in the experiment: Siam Commercial Bank, Bank of Ayudhya and 2C2P. Tests should begin at the end of 2022 and last until mid-2023.

The second stage was called Innovation track.The central bank assured that the private sector and the public will have the opportunity to present their options for using the currency for retail trade at the central bank’s digital currency forum, which will be held from August 5 to September 12, 2022. Selected participants will receive support from experienced companies.

Earlier, Thai authorities announced that the state will provide value added tax benefits for transactions with digital assets until December 31, 2023.