Thailand Government Exploring Bond-backed Stablecoin Viability
Thailand is exploring the potential of stablecoins backed by government bonds, as indicated by a meeting between Finance Minister Pichai Chunhavajira and the Securities and Exchange Commission (SEC). No official confirmation has been made yet.
Former Prime Minister's Advocacy
- Thaksin Shinawatra urged Thailand to adopt a more crypto-friendly approach.
- He cited the pro-crypto initiatives of Donald Trump in the US as an influence on global finance.
- Shinawatra suggested utilizing crypto assets for payments, with a pilot project planned for Phuket.
Crypto ETFs Development
- Thailand is considering launching local Bitcoin Exchange Traded Funds (ETFs) for direct trading by investors.
- Previous offerings allowed only indirect exposure to overseas Bitcoin ETFs.
- The new initiative aims to enhance Thailand’s competitive edge in the region.
Global Context
- The SEC Secretary-General emphasized the need for Thailand to adapt to growing global cryptocurrency adoption.
- This adaptation could expand investment options and ensure regulatory protection for investors.
US Regulatory Developments
- President Trump signed an executive order to create the “Presidential Working Group on Digital Asset Markets”.
- The group will focus on developing a federal regulatory framework for digital assets, including stablecoins.
- Trump excluded Federal Reserve and FDIC members from this group, raising questions about financial oversight.