When it comes to cryptocurrency and blockchain adoption, countries from all over the world are trying to do it. Whether it is a fully developed country or an under-development country, they are all after the industry’s adoption in different ways.
The concept of cryptocurrencies and blockchain has also given a new idea to many countries in the world. Before the pandemic hit the world, none of the countries in the world had gone for digital fiat currencies. When the world was struck by the pandemic, the entire world realized the importance of having digital/virtual currencies on hand.
This is the reason why many countries are now trying to come up with their central bank digital currencies (CBDCs), and Thailand is no different.
As per the latest reports, Thailand has announced that it will be going through the testing phase for its CBDC. The Central Bank of Thailand has confirmed that it is currently considering carrying out the launch of testing for the digital currency.
The Bank of Thailand has announced that it is currently in the process of designing and developing digital currency. Once that is done, the Central Bank of Thailand is then aiming to launch its preliminary testing phase. According to sources, it has been revealed that the Central Bank of Thailand is planning to launch the testing phase CBDC in the second quarter of 2022.
The announcement related to the testing of the central bank digital currency was made by the Thai central bank’s officials on Friday, April 2, 2021. In the announcement, the officials from the central bank have revealed that the information for the CBDC has been shared with the public.
Now, the Central Bank of Thailand awaits the public response and based on the response, it will be decided whether it is going to work on the CBDC project or not.
The Central Bank of Thailand has revealed that releasing the documentation/thesis was part of the preliminary procedure that it is currently following.
The Central Bank of Thailand has also revealed its motivation behind the development of the CBDC. The regulator has stated that the financial stability and monetary sovereignty of Thailand’s fiat currency are currently facing a risk.
There are several cryptocurrencies that are currently experiencing really high growth and adoption. As private cryptocurrencies and digital currencies continue to grow in adoption, the sovereignty of the local currency is at risk.
This is the reason why the Central Bank of Thailand has expedited the process and is planning to launch its own digital currency at the earliest.
Before the Central Bank of Thailand, it was Apex Bank from Thailand that had announced it was working on Thai Baht Digital (THT). However, the government of Thailand had announced the stablecoin “Thai Baht Digital – THT” to be illegal.