Thailand’s New Leadership Reveals Positive Stance on Cryptocurrency

Rise of Srettha Thavisin: From Real Estate to Leadership

Srettha Thavisin’s appointment as the new Prime Minister of Thailand, representing the Pheu Thai Party post a contentious election, signifies a pivotal transition for the nation. Before embarking on his political journey, Thavisin led Sansiri, a renowned real estate developer. Notably, Sansiri has been deeply embedded in Thailand’s digital currency realm. In 2021, the company acquired a 15% share in the Thailand-native digital asset service firm, XSpring. Collaborating with Krungthai Bank, XSpring offers crypto brokerage services and also operates a licensed ICO platform. Later on, Sansiri introduced its “SiriHub Token” on XSpring, drawing parallels to a REIT, which distributes dividends from Sansiri Campus, a significant project under its belt.

Pioneering a National Token Incentive

Thavisin’s ambitious vision includes a distinctive ‘airdrop’ initiative, pledging 10,000 Thai baht (approximately $300) to every Thai citizen aged 16 and above. This sum can be utilized only within a four-kilometer radius of the recipient’s residence. This elucidation came directly from a representative of the party during an interview with the Bangkok Post.

This scheme won’t utilize any existing cryptocurrency but rather a unique national token. Traders will have the advantage of cashing it out through specified banking institutions. Although innovative, the program has not escaped criticism, especially concerning its considerable estimated cost, standing at 500 billion THB ($14.3 billion). Another point of contention is the integration of blockchain technology, particularly when Thailand already boasts pre-existing digital banking systems.

Udomsak Rakwongwan, the co-founder of the decentralized derivatives platform FWX.finance, expressed his reservations, saying, “Despite my hopes for blockchain adoption in Thailand, leveraging blockchain and tokens for this initiative seems excessive.” Udomsak also highlighted the Paotang digital banking wallet, custom-made for governmental programs, suggesting its implementation might be more straightforward than introducing an intricate blockchain.

However, Rakwongwan remains optimistic about the evolving crypto landscape in Thailand and foresees softer regulations on cryptocurrencies, thereby fostering the growth of Thai digital currency ventures.

Cross-Party Affinity for Cryptocurrencies

While Srettha Thavisin and Pita Limjaroenrat, the head of Thailand’s Move Forward Party, may not share many political ideologies, their enthusiasm for cryptocurrencies is unmistakable. Earlier reports by CoinDesk in July revealed Limjaroenrat’s investments in notable cryptocurrencies such as Bitcoin, Ether, Cardano, and BNB. Although these investments only represent a fraction of his total assets, the fact that prominent Thai political figures are active cryptocurrency enthusiasts, or HODLers as they’re colloquially known, cannot be overlooked.