Thailand Deputy Prime Minister Announces Pilot Project to Allow Tourists to Use Bitcoin (BTC) as an Alternative Payment Method

Thailand is set to launch a pilot project that will allow tourists to pay for goods and services using cryptocurrencies like Bitcoin (BTC). This was disclosed by Thailand’s Deputy Prime Minister, Pichai Chunhavajira, at an event hosted by the Marketing Association of Thailand, according to a report by local news outlet The Nation on March 2.

Chunhavajira, who also serves as Thailand’s Minister of Finance, revealed that the government is launching an initiative to test the use of cryptocurrencies as an alternative payment method in tourist cities. This move will enable tourists to pay for goods and services in these regions using crypto. The initiative also aims to maintain Thailand’s competitiveness in the global market and ensure that the country does not miss out on business opportunities.

The pilot project is expected to launch later this year in Phuket and will operate within existing legal frameworks, eliminating the need to amend current laws, the report noted.

This development was first reported last month when former Thai Prime Minister Thaksin Shinawatra introduced a proposal to allow tourists to make payments using Bitcoin. Binance’s Thai subsidiary, Gulf Binance, also expressed support for the initiative at the time.

If launched, Thailand will join other countries like Russia that have embraced crypto as an alternative means of payment.

Two major factors driving the project include the rising popularity of crypto assets among foreign tourists and their growth potential, Chunhavajira highlighted in his keynote address at the event.

The minister pointed to Bitcoin as an example, highlighting a strong demand for the premier cryptocurrency, which is valued at over $2 trillion. Once the project launches, foreign tourists will be required to register their crypto assets, such as Bitcoin, on Thai exchanges. They will also have to verify their identities before they can use their cryptos for payments.

Furthermore, the Thai government will set up a clearing house that will convert these crypto transactions to the country’s fiat currency, the report noted. It is also worth mentioning that there is a growing adoption of crypto in Thailand.

Even as the government is yet to begin the pilot project, a small crypto-savvy village in Kalasin’s Huay Phueng district of Thailand is already embracing the nascent asset for real-world use cases, The Nation reported on March 1.

Popular crypto-focused YouTube channel Right Shift revealed that an unnamed Bitcoin maximalist is spearheading this initiative. This individual set up a coffee shop in the village as part of efforts to teach residents how to use Bitcoin as a payment method instead of fiat currencies.

So far, the crypto advocate has persuaded over 80 businesses, including a noodle store, to accept Satoshi (the smallest units of BTC) as a payment method via a Bitcoin Lightning app. According to Right Shift, this move is gradually transforming the village into a ‘Bitcoin town.’