The Bank of Thailand (BOT) is due by the end of the year to assess the risks and benefits to develop policies and design a digital currency. central bank digital currency (CBDC) plans to start pilot study.
A real-life pilot, in limited collaboration with the private sector, will expand the scope of the Central Bank’s previous CBDC development programs, a press release on Friday said.
Thailand to Test Central Bank Digital Currencies with 10,000 People
The BOT is reportedly among the first central banks to adopt CBDC as a new financial infrastructure, with the potential to increase opportunities for business and the public to provide easier and greater access to a variety of financial services at lower costs.
The pilot program will be split into two parts to facilitate the development of new financial services and one core piece to evaluate the design of the system, with approximately 10,000 users paying for goods and services involving the three companies.
Still, the Bank of Thailand has no plans to issue a retail CBDC as it requires a “comprehensive assessment” of risks and benefits and has warned the public to be wary of scams and frauds claiming to provide retail CBDC investments or services at this point.
Thailand said last year that retail CBDC could be fully implemented in the next three to five years.
Leading the global central bank digital currency race so far cryptocurrencies China, which bans it, holds it.
*Not investment advice.