Thailand

Key Insights:

• Tourists can convert cryptocurrencies into baht through licensed platforms under a new sandbox program.
• The initiative expands on the former Phuket-only pilot and now applies nationwide with regulatory oversight.
• Operators face strict conditions including AML rules, license approvals, and tourist spending limits.

Thailand’s Securities and Exchange Commission (SEC) and the Bank of Thailand have launched a national crypto sandbox focused on foreign tourists. This new regulatory framework allows tourists to convert digital currencies into baht using licensed digital asset operators. The program aims to support innovation, enhance tourism infrastructure, and ensure secure and traceable digital finance usage.

According to the Bangkok Post, the sandbox builds on a previous regional concept developed in Phuket, now with nationwide scope and formal oversight. Under this model, tourists can spend baht converted from digital assets via regulated e-money platforms. The direct use of cryptocurrencies for payment remains prohibited under current regulatory conditions.

The sandbox is currently under public consultation and will apply to approved exchanges, brokers, and dealers for 18 months, with possible extensions. Operators must meet regulatory conditions, pass approval from the SEC, and integrate with licensed e-money providers. The Anti-Money Laundering Office and the central bank will also help supervise sandbox operations.

Oversight, Implementation, and Industry Reactions Raise Concerns

Participating operators must comply with strict eligibility criteria, including service scopes, transaction limitations, and adherence to anti-money laundering measures. Tourists can only use the converted baht through controlled payment channels like QR code-based systems. This framework aims to balance innovation with consumer safety and financial security.

Despite optimism, the Tourism Council of Thailand (TCT) voiced concerns about industry readiness and public awareness, particularly in Phuket. According to Bhummikitti Ruktaengam, TCT’s vice president, many local businesses remain uninformed about the sandbox’s framework and public hearings. Tourism operators also requested clear information about which cryptocurrencies will be accepted and how exchange operations will be handled.

The sandbox’s national reach marks a significant evolution from the original Phuket initiative proposed by former Prime Minister Thaksin Shinawatra. Nirun Fuwattananukul of Gulf Binance stated to the Bangkok Post that the new program reflects Thailand’s commitment to structured digital asset regulation. As Thailand moves toward broader adoption of blockchain finance, officials must ensure stability and compliance across the tourism sector

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