BANGKOK: The Bank of Thailand (BoT) is preparing to establish regulatory guidelines for a Thai Baht stablecoin, signalling a new phase in the country’s digital financial transformation.
The move reflects a broader shift in global finance, where money is increasingly evolving beyond physical cash and traditional bank deposits into regulated digital assets that can function as financial infrastructure.
Stablecoin rules expected within 2026–2027
BoT Governor Vitai Ratanakorn said the study on Thai Baht stablecoin design is in its final stage, with a public hearing expected in the coming months.
He added that formal regulations are expected to be finalised and announced either within 2026 or early 2027.
The stablecoin framework is intended to support Thailand’s long-term financial infrastructure development, particularly for digital transactions and settlement systems.
Designed for payments, not speculation
The Thai Baht stablecoin will be positioned differently from speculative digital assets, with a focus on settlement and payment efficiency.
Its primary role will be to improve transaction processing and support financial system efficiency rather than function as an investment vehicle.
Authorities are also exploring its use in connection with carbon credit markets, enabling trading of greenhouse gas emission rights and supporting Thailand’s transition toward a low-carbon economy and net-zero targets.
Gradual opening for financial institutions
The central bank also plans to gradually allow commercial banks and financial institutions to expand activities related to stablecoins and digital assets.
This includes potential involvement in carbon credit-linked transactions and green financial products.
Officials emphasised that expansion will be phased to ensure institutions can adapt while maintaining overall financial system stability.
Cautious but adaptive policy stance
The BoT said its approach reflects a shift in mindset from previous caution toward digital assets, acknowledging changing global financial conditions.
However, Thailand will not adopt rapid or disruptive implementation. Instead, development will follow a step-by-step progression to ensure risk management and institutional readiness.
Officials described the approach as gradual evolution rather than a sudden leap, allowing all stakeholders time to adapt.
Key step in Thailand’s financial transformation
The central bank said the Thai Baht stablecoin is not only a financial innovation but also a tool to strengthen Thailand’s economic infrastructure.
It is expected to support next-generation payment systems, expand digital asset markets and accelerate the transition toward a low-carbon economy.
If implemented as planned, the stablecoin framework could mark a significant milestone in Thailand’s digital financial transformation within the coming years. - The Nation/ANN
