Thailand urged to study crypto to stay globally competitive

Former Thai Prime Minister Thaksin Shinawatra has called on Thailand to prioritise studying cryptocurrencies and experimenting with digital assets to remain relevant in the global economy.

Speaking at a lecture in Hua Hin, Shinawatra emphasised the growing importance of digital currencies and the need for Thailand to adapt to global trends.

"There are already many cryptocurrencies. Some people say that in the future, we will have more currencies than countries. Thai people must think and understand this," he stated, as quoted in a report by Money and Banking Online.

While he stopped short of recommending that Thailand purchase cryptocurrencies, Shinawatra highlighted the rise of digital economies as a critical area for the nation to explore.

Thailand has already taken steps toward crypto adoption.

In August 2024, the country’s Securities and Exchange Commission (SEC) launched a regulatory sandbox to allow businesses to test digital asset services in a controlled environment.

The initiative aims to promote innovation while managing potential risks.

Additionally, the Thai government distributed 10,000 baht (approximately $280) in digital cash to 45 million residents in July 2024 as part of an economic stimulus plan spearheaded by the Pheu Thai party.

The nation’s financial institutions are also embracing the crypto space.

Kasikornbank became Thailand's first licensed crypto custodian in September 2024, offering services tailored for digital asset businesses.

In October 2024, the SEC proposed allowing mutual and private funds to invest in cryptocurrencies, signaling a shift toward institutional adoption.

Thailand is also collaborating internationally, partnering with the Hong Kong Monetary Authority in cross-border settlement trials under the HKMA's Project Ensemble.