Bitcoin Buzz Echoes – Bangkok記事 Post

Cryptocurrency is back in the news, and this time it’s all about Bitcoin. The former Thai prime minister, Thaksin Shinawatra, recently suggested considering the use of cryptocurrency in Thailand during a Pheu Thai Party seminar. This has reignited the debate surrounding the adoption of digital currencies in the country.

Following the US presidential election victory of Donald Trump, Bitcoin reached an all-time high of $106,000. This surge reflects the ongoing volatility in the cryptocurrency market, which has seen its fair share of ups and downs in recent times.

Thaksin Shinawatra’s proposal includes starting with a pilot project in a limited area, like Phuket, to encourage the spending of digital currencies within Thailand. The idea of creating a stablecoin backed by government bonds was also discussed as part of this initiative.

However, there are concerns about the potential risks associated with such a move. The Thailand Development Research Institute (TDRI) has warned that the volatile nature of digital currencies could pose a threat to the success of the project. Additionally, introducing a government-backed coin may lead to confusion in the economy and impact the value of the baht.

Experts in investment strategy have expressed skepticism about Thailand fully adopting Bitcoin or other digital coins as a mainstream medium of exchange. They believe that the country should observe the outcomes of similar experiments in other leading economies before making a final decision.

The Securities and Exchange Commission (SEC) has already launched a regulatory sandbox for selected service providers to test digital assets under relaxed regulations. If Thailand were to proceed with using Bitcoin, it could potentially set a precedent by allowing digital currencies to be used for transactions, akin to what has been done in El Salvador.

To implement such a policy successfully, Thailand would need to develop a digital coin resembling a central bank digital currency (CBDC). This type of currency, issued by a country’s central bank, is tied to the value of the fiat currency and comes with enhanced security measures.

Ultimately, while the idea of using digital currencies like Bitcoin is gaining traction, careful consideration and examination of lessons from other nations are crucial before making any final decisions. Starting with a small-scale pilot project, like a sandbox, could allow for better control over any potential risks or issues that may arise.

It’s clear that the road to integrating digital currencies into Thailand’s economy is complex, but with the right strategies and precautions in place, it could be a step towards a more modern and tech-savvy financial system.