Education
Thailand Using the Digital Currency of the Central Bank
A senior figure at the Bank of Thailand (BOT) has confirmed that the bank is already using the digital currency of the central bank (CBDC) for transactions with certain companies.
- Vachira Arromdee, Assistant Governor of the Central Bank, told reporters Wednesday that it was preparing to extend the use of digital currency by large businesses The Nation published.
- It is not clear what companies are now using the digital currency; transactions with the Hong Kong Monetary Authority will begin with the CBDC in September.
- Thailand's CBDC is backed by the central bank's currency reserves; BOT data reveals that its foreign currency reserves have risen by more than $25 billion over the past 12 months.
- Service to the general public, along with a state-backed wallet supplier, is currently under discussion.
- Arromdee said that BOT recognised digital currencies could lower transaction costs, but is also worried about how this will affect the commercial banking sector.
