Baht-Pegged Stablecoin: 100% Reserve Support, Institutions First
According to the Bangkok Post, Bank of Thailand Governor Vitai Ratanakorn disclosed at the 'Capital with Purpose' conference hosted by efinanceThai that the central bank is actively advancing its baht-pegged stablecoin proposal and plans to hold a public hearing on the matter within the year. Vitai outlined initial hard requirements: the stablecoin must be fully backed 1:1 by baht reserves; in the first phase, the central bank will only allow financial institutions to use it for settlement purposes, with other use cases to be evaluated in subsequent stages. This move signals the BOT's openness to digital assets beyond CBDCs, while emphasizing prudent regulation.
Strict Regulation of Payments and Forex Speculation: QR Code Payments Must Use Baht, Illegal Transfers Shut Down
Vitai reiterated that all personal QR code payments within Thailand must be conducted in baht. RMB-denominated personal QR code transfers on platforms such as Alipay and WeChat Pay are not permitted in the Thai market. The central bank is coordinating with platform operators to review transactions and identify violations; between February 2025 and May 2026, regulators have suspended approximately 5,000 accounts used for peer-to-peer RMB transfers via Alipay and WeChat Pay. He warned that regulated payment service providers may only process transactions in baht, and violations could result in corrective measures, fines, suspension of operations, or even license revocation.
Regarding the increasing number of institutions offering forex trading services to retail investors, Vitai stated that the central bank has no policy to license speculative forex trading businesses. Providing transfer and settlement services for such transactions (whether domestic or cross-border) may violate Thailand's 1942 Exchange Control Act, with maximum penalties of 200,000 baht in fines and 3 years in prison, or both. Furthermore, individuals or entities promoting or advertising speculative forex trading may face charges under the Emergency Decree on Fraudulent Borrowing of 1984, punishable by 5 to 10 years imprisonment, fines of 500,000 to 1 million baht, and a daily continuing penalty of up to 10,000 baht. These stringent measures underscore the central bank's determination to maintain financial order and baht sovereignty in the digital economy era.