The Bank of Thailand (BoT) is moving forward with plans to establish a regulatory framework for a Thai baht-backed stablecoin, marking the latest step in the country’s digital finance strategy. Speaking on June 26, Governor Vitai Ratanakorn said the central bank’s design study is nearing completion, with public consultations expected before the end of 2026 and formal regulations targeted for late 2026 or early 2027.
Under the proposed framework, the stablecoin will maintain a fixed 1:1 peg with the Thai baht and must be fully backed by reserves held in segregated accounts at licensed financial institutions. Token holders will have the legal right to redeem their holdings for Thai baht at any time, while reserve assets will be protected from being used for any other purpose.
Recently, Thai authorities expanded an investigation that began with raids on three illegal cryptocurrency mining networks across Thailand. The probe has since widened into a Chinese-linked money laundering case involving more than 10 billion baht ($307 million) in suspected annual transactions.
Designed to Modernize Payments and Settlement
The proposed stablecoin is intended to improve payment and settlement efficiency rather than serve as a speculative investment asset. The Bank of Thailand said the initiative forms part of its broader effort to modernize the country’s digital payments infrastructure through a phased and carefully regulated approach.
In addition to payment applications, authorities are exploring the potential use of the stablecoin in Thailand’s carbon credit market, where it could facilitate the trading and settlement of greenhouse gas emission credits in support of the country’s long-term sustainability and net-zero objectives. According to the May 2026 report, Thailand contributed 2.88% of BingX’s total web traffic, underscoring its growing user base in the region.
Building on Earlier Stablecoin Policies
The central bank plans to expand stablecoin-related activities gradually, allowing commercial banks and other licensed financial institutions to participate while safeguarding financial stability. Officials said the phased rollout is designed to give market participants sufficient time to adapt to the new regulatory framework.
The proposal builds on the Bank of Thailand’s earlier approach to stablecoin regulation. In 2021, the central bank required baht-backed stablecoins used for payments to comply with electronic money regulations while continuing to assess the broader digital asset landscape. The forthcoming framework would establish a dedicated regulatory regime for fully reserved, baht-pegged stablecoins designed specifically for payment and settlement purposes, reflecting Thailand’s evolving approach to digital financial infrastructure.
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