Thailand Explores Crypto-Linked Credit Cards for Tourists

 

Thailand's government is advancing ambitious plans to integrate cryptocurrencies into the nation's real economy, beginning with a pioneering scheme that could allow tourists to link digital assets to their credit cards for domestic spending. 

 

Deputy Prime Minister and Finance Minister Pichai Chunhavajira revealed the initiative on Monday during his address at the 'Dailynews Talk 2025: Revitalising Stocks & Crypto in H2 2025' event, which focused on 'The Charm of Thai Stocks: A Driving Force for the Economy'.

 

The Ministry of Finance is actively studying models used internationally to permit the direct linkage of cryptocurrencies with credit cards for purchases within Thailand. 

 

This innovative approach aims to streamline transactions for visitors, with vendors receiving payment in local currency as usual, often without even being aware that the buyer utilised crypto.

 

Discussions are already underway with the Bank of Thailand (BOT) to pilot the system before a wider implementation.

 

Beyond tourist spending, Minister Pichai outlined a broader vision to overhaul existing legislation.

 

The government plans to amend laws to seamlessly connect the "capital market" with the "digital asset market," which currently operate under separate legal frameworks – namely, the Securities and Exchange Act and the Emergency Decree on Digital Asset Businesses.

 

This reform is designed to provide investors with greater flexibility, allowing them to transfer funds between the two markets more conveniently, thereby accommodating modern investment behaviours.

 

 

"In some foreign countries, it's already possible to use crypto for purchases by linking it to credit cards. When something is bought, the vendor receives payment in local currency as normal, often not even realising the buyer used crypto. This approach can be immediately adapted for Thailand, provided the supporting systems are in place, but it will not involve our domestic currency," Pichai explained.

 

Meanwhile, Minister Pichai offered a positive outlook on the Thai stock market, noting its relative stability in certain sectors.

 

He stressed that the inherent appeal of fundamental stocks remains a key investment factor, highlighting that the Thai stock index has seen only minor declines compared to regional peers despite US policy shifts, indicating its resilience even without severe external factors.

 

The minister also revealed ongoing discussions with various institutional funds to review their investment policies.

 

He plans to amend long-standing regulations affecting institutional investors, such as insurance funds, which currently restrict or limit their ability to invest in stocks.

 

Some of these funds are substantial, worth hundreds of billions of Baht, yet are largely confined to investing solely in government bonds.

 

Regarding the Stock Exchange of Thailand (SET), Minister Pichai stated its role is to encourage long-term investment.

 

He urged larger companies to review and adapt their business structures to align with global trends, particularly in green initiatives.

 

For smaller companies with potential and capability, the Ministry aims to foster their growth into medium and large enterprises, with a supporting ministerial regulation expected soon.
 

 

 

 

Strengthening Regulations and Digital Asset Integration

Furthermore, efforts are underway to amend the Securities and Exchange Act to strengthen regulatory oversight, particularly concerning practices like short selling.

 

Minister Pichai indicated that if short-selling can be effectively monitored, penalties, potentially including civil and criminal charges mirroring international practices, could be imposed.

 

The proposed amendments also empower public prosecutors with direct investigative and indictment authority, aiming to significantly boost investor confidence. This legislative process is now in its final stages.

 

In parallel with these capital market reforms, the government also plans to push forward with legal amendments to seamlessly connect the "capital market" with the "digital asset market," which currently operate under separate legal frameworks.

 

This move is designed to provide investors with greater flexibility, allowing them to transfer funds between the two markets more conveniently, thereby accommodating modern investment behaviours.

 

Minister Pichai reiterated that the fundamental goal of bridging these markets is to enhance investor convenience.

 

"Investors in these two markets are essentially the same group," he noted. "We therefore need a linking system to facilitate ease and create a more conducive investment environment. In the future, investors within the stock exchange system will be able to invest in the crypto market without redundant processes, as Know Your Customer (KYC) procedures are already in place."

 

These comprehensive measures align with the government's overarching digital economy drive. As an initial step in this direction, Thailand previously issued its "G-Token" (a government digital token), though this was intended purely for investment purposes and not for direct commercial transactions.