In Phuket, Thailand’s largest island, a pilot project will begin testing the use of cryptocurrency as an alternative to cash this year. This was stated by the Minister of Finance of Thailand, Pichai Chunhavajira, speaking at a seminar organized by the Marketing Association of Thailand.
The minister emphasized that the government intends to conduct testing in tourist-oriented cities to make it easier for foreign tourists to use cryptocurrencies to pay for goods and services.
The official explained that there would be no need to amend the current legislation, since the government already has all the necessary mechanisms to support this initiative. According to him, the launch of the project is due to the growing popularity of cryptocurrencies among foreign tourists and their increasing cost. He added that the implementation of the pilot project in Phuket will help maintain Thailand’s competitiveness and expand its business opportunities.
Foreign tourists participating in the pilot will be asked to register their bitcoins through a Thai exchange and verify their identity before using cryptocurrency to pay for goods and services. Subsequently, the clearing house will convert the bitcoins into Thai baht.
Digital currencies are becoming increasingly popular in Thailand. A village in Huai Phuen district in the east of the country has been dubbed Thailand’s “Bitcoin City” by enthusiasts, according to YouTube channel Right Shift, which promotes the use of cryptocurrencies.
In this village, one of the crypto enthusiasts opened a coffee shop, which became a center for teaching local residents to use the minimum unit of Bitcoin – Satoshi – instead of cash. He convinced more than 80 residents to accept Satoshi through the Bitcoin Lightning app, allowing tourists and locals to make cashless transactions. Now, many shops in the village, including noodle shops, market stalls, street food stalls with meatballs and even an autorickshaw service, accept Bitcoin as payment.