On August 18, 2023, Thailand will launch a new initiative called TouristDigiPay, allowing foreign visitors to convert cryptocurrency into Thai Baht for spending within the country.
Overview of the TouristDigiPay Scheme
The TouristDigiPay initiative is a response to a significant decline in tourism, particularly from China, which is traditionally a key source of visitors for Thailand.
Opportunities and Restrictions of the Program
The new program will operate within a regulatory sandbox to ensure oversight and risk management. Users will need to open a local account with a regulated digital asset business and e-money provider, and strict Know Your Customer (KYC) checks will be required.
Context of the Crypto Industry in Thailand
In June, the Thai government approved a five-year tax break for cryptocurrency traders. Despite the inability to use cryptocurrencies for payments, trading remains popular, with several major exchanges opening branches in the country.
The TouristDigiPay program represents a step towards integrating cryptocurrency into Thailand's tourist economy, despite existing payment restrictions and stringent client identification requirements.
