The Bank of Thailand is entering the final stage of establishing a regulatory framework for a Thai Baht-backed stablecoin, signaling a major step toward modernizing the country's digital payment infrastructure. The framework, expected to be finalized between late 2026 and early 2027, will prioritize secure payments and efficient settlements over speculative investing. Governor Vitai Ratanakorn confirmed that the stablecoin design study is now in its concluding phase, with public consultations set to begin in the coming months to gather feedback from financial institutions, technology providers, and other stakeholders.
Under the proposed rules, the stablecoin will maintain a strict one-to-one peg with the Thai Baht, with issuers required to hold an equal amount of unencumbered fiat reserves in segregated accounts. Token holders will have a permanent legal right to redeem their holdings for physical Baht, reinforcing consumer protection and trust. The central bank intends the stablecoin to function purely as a payment and settlement tool, not as a speculative digital asset. The framework also draws on insights from Thailand's enhanced regulatory sandbox, where digital asset services have been tested under controlled conditions.
Beyond payments, the Bank of Thailand is exploring the stablecoin's potential to support carbon credit markets, simplifying the trading and settlement of greenhouse gas emission rights. This aligns with the country's broader environmental targets and net-zero goals. A phased rollout is planned, allowing commercial banks and licensed institutions to gradually participate while managing financial and operational risks. The move positions Thailand among regional leaders in developing stablecoin infrastructure for real-world economic use, reflecting a broader global trend toward regulated digital currencies.
