• Thailand launches TouristDigiPay pilot to let tourists convert crypto into baht.
• The 18-month program runs under strict oversight by financial regulators.
• The scheme aims to modernize tourism payments while ensuring compliance.

Thailand has officially introduced a new initiative that allows foreign tourists to convert digital assets into Thai baht for everyday spending. The program, called TouristDigiPay, was unveiled on August 18 under the leadership of Deputy Prime Minister and Finance Minister Pichai Chunhavajira.

The pilot scheme will first be operational for 18 months within a regulatory sandbox, and it will be supervised by the Ministry of Finance, the SEC, the Anti-Money Laundering Office (AMLO), and the Ministry of Tourism and Sports. The Bank of Thailand (BOT) will also be key in supervising e-money providers within the scheme.

The authorities aim to improve Thailand’s tourism sector by providing up-to-date payment systems that cater to the digital lifestyle of modern tourists.

Foreign tourists will be able to spend their converted currency on products and services, while vendors will still be paid in baht through normal channels.

Also Read: US Treasury Sanctions Garantex and Grinex Over $100M in Illicit Crypto Transactions

TouristDigiPay Pilot Enforces Strict KYC and Spending Limits

The program focuses on stringent regulatory requirements. Tourists paying through TouristDigiPay are required to open accounts with authorized digital asset providers and e-money institutions.

Those accounts will need complete adherence to KYC and Customer Due Diligence (CDD) requirements, which AMLO monitors.

Regulators made it clear that the program does not aim to facilitate direct crypto payments in restaurants or stores. It rather guarantees that only merchants use baht, and the process of converting it is taken care of through licensed service providers.

To put a curb on risks like money laundering, the system implements spending thresholds. In the case of card terminal-having merchants, the monthly threshold is 500,000 baht per account.

Smaller firms are limited to 50,000 baht. Payments through high-risk firms identified by AMLO will be prohibited.

Thailand Tests Digital Asset Scheme to Support Tourism

TouristDigiPay makes its entry against the backdrop of Thailand’s travel industry being under pressure because of declining arrivals, particularly from China.

It is being seen as one of the tools being employed to drive expenditure and enable travel among digitally literate tourists who are increasingly traveling with digital assets.

The SEC recently concluded a consultation on the use of digital assets to support the development of inbound and domestic tourists, whose comments were closed on August 13. The consultation helped shape the new scheme outline.

The authorities indicated that once the pilot period of 18 months concludes, the administration will review its success.

If successful, TouristDigiPay has the potential to unlock the door for broader-scale adoption of financial technology throughout the Thai economy, blending together tourism, fintech, and regulated digital currencies in one entirely new ecosystem.

Also Read: US Federal Reserve Ends Novel Activities Program for Banks’ Crypto Services