The former Prime Minister proposed this, with the support of Binance Thailand's CEO.
Recently, a controversial proposal has emerged in Thailand: to create a Bitcoin payment 'sandbox' environment in Phuket, testing crypto transaction applications first in a major tourist area. According to local media (Bangkok Post), this idea comes from former Prime Minister Thaksin Shinawatra, aiming to 'attract tech-savvy tourists' and enhance Thailand's competitive position in the global crypto market. Binance Thailand CEO Nirun Fuwattananukul also agreed, believing this could bring new business opportunities to Thailand and consolidate its tourism advantages.
However, the Bank of Thailand still prohibits the use of cryptocurrencies for general payments and remains vigilant regarding crypto assets like Bitcoin. Despite the political and industry push in recent years for a 'Digital Thailand', aiming to transform the country into a regional blockchain and fintech hub, it continues to face restrictions from existing financial regulations.
Fuwattananukul mentioned in an interview with the Bangkok Post: 'This proposal shows that countries around the world are embracing crypto technology, and Thailand needs to take bold steps if it doesn't want to be left behind.'
Policy divergence makes the central bank's attitude key.
Currently, Thailand's payment system is under the jurisdiction of the Bank of Thailand, while crypto assets are regulated by the Securities and Exchange Commission (SEC), making the regulatory framework relatively complex. Furthermore, Thailand itself adopts a 'foreign exchange control' system, which is vastly different from countries like the United States or Japan that have allowed Bitcoin payments. Therefore, even if a Bitcoin sandbox is created in Phuket, it must achieve consensus among various departments to solve foreign exchange, risk management, and legality issues.
Additionally, observers have pointed out that the central bank has historically taken a conservative stance, concerned that large-scale crypto trading could impact financial stability. Therefore, if this sandbox project is to be implemented, it must allow the authorities to thoroughly study the risks and assess the impacts on capital flows and central bank monetary policy. If the central bank and the SEC can work together to adjust regulations, it may not be impossible to expand successful trials in Phuket into wider or more formal national Bitcoin payment measures.
Phuket becomes a crypto experimental field; are foreign users restricted?
In the proposal's vision, Phuket, as an international tourist destination, usually has a higher acceptance of crypto assets among foreign travelers. If they can use Bitcoin to pay for hotels, restaurants, and even transportation, it may attract a wave of 'tech backpackers' and new types of investors. However, industry insiders point out that many local payment systems in Thailand are currently not open to foreigners, such as PayPal or some bank apps, which require local identity or address. This structural limitation is also seen as one of the challenges in promoting 'foreign travelers using Bitcoin'.
Despite facing challenges, Fuwattananukul revealed in a previous interview that Thailand's digital asset market is gradually shifting towards institutional-level participation, with some funds considering investing in crypto products. If the Phuket Bitcoin sandbox is launched, it will inevitably promote more innovative models of 'blockchain + tourism'. Industry insiders have suggested that if they can successfully persuade regulatory agencies and implement anti-money laundering (AML) and consumer protection measures, Thailand is expected to stand out in the Southeast Asian crypto tourism market.
So far, the authorities have not made a clear statement on the plan, only that there will be cross-department discussions. Some are also concerned that Thailand's bureaucratic system is slow to adapt to new technologies, and when it will be practically implemented remains to be seen. However, in the atmosphere of continuous expansion in the global crypto market, if the Phuket 'Bitcoin sandbox' can be launched, it will undoubtedly bring Thailand more internationalized new business opportunities.
Further Reading
Thailand's youngest female Prime Minister takes office! Will she inherit her father's style and continue to be crypto-friendly?
Once proposed nationwide airdrops! Did Thailand's digital currency plan fail? The Prime Minister: Some will be converted to cash payments.
'Thailand plans to promote Bitcoin payments? Phuket becomes a crypto tourism experimental field, a new opportunity for the tourism industry' was first published in 'Crypto City'.
