Thailand postpones digital currency rollout to Q1 2024 due to security concerns, facing criticism over debt and legality.
Bank of Thailand foresees positive local economic impact from Pheu Thai Party's $285 digital handout scheme, with 3% GDP growth in the $14.1 billion project.
Bank of Thailand expects the total number of participants to reach around the 10,000 mark while viewing the CBDC project as a “pilot to learn” instead of a pilot launch.
Assistant Gov. Tharith Panpiemras revealed that virtual banks would be regulated in the same manner as traditional financial institutions, including additional safeguards for investors’ protection.
Eddie Yue of the HKMA says reducing risks associated with digital assets can be achieved by regulating off-chain activities, while BOK's Rhee is skeptical of whether these assets truly have benefits.
The plan will make the Bank of Thailand a second digital assets industry oversight body following the SEC, which is currently the sole digital assets industry regulator.
The Bank of Thailand says this next phase will be a pilot phase focused on testing "real-life applications of Retail CBDC" with the private sector.
The central bank says it’s fully behind fostering the growth of the digital assets industry, but banks must be cautious in their approach to protect investors.
The Thai taxman was to begin collecting the 15% tax this year, but it will now only impose capital gains from traders even as the government bans Bitcoin payments.
Bank of Thailand, the Securities and Exchange Commission, and the Finance Ministry issued the joint statement where they said digital currencies aren’t fit to be used as payment methods.
Thai taxman expects to impose a 15% withholding tax on digital currency profits but will hold a public hearing to collect feedback as it seeks to foster growth in the sector.