Thailand Launches Crypto-to-Baht “TouristDigiPay” Sandbox

In an effort to boost tourism spending and position Thailand as a digital finance hub in the SEA region, the government has announced a new crypto pilot project. This will not be a broker or typical crypto exchange. Instead, this crypto-to-baht sandbox will enable visitors to convert their cryptocurrency directly into baht, which is then added to a secure online wallet that will enable the user to pay digitally while in Thailand.

This new program, named “TouristDigiPay,” will give tourists with crypto a secure way to pay in Thailand without having to exchange and carry large amounts of cash, open a bank account in Thailand, or rely on credit cards. 

Cryptocurrency in Thailand

Thailand has taken a unique position in Southeast Asia when it comes to digital assets. While many countries remain cautious about cryptocurrency, Thailand has gradually opened its financial system to new technologies, though not without oversight. The Thai Securities and Exchange Commission (SEC) and the Bank of Thailand have long regulated exchanges, wallets, and token issuers, ensuring compliance with anti-money laundering (AML) and know-your-customer (KYC) rules.

For tourists and investors alike, this balance of openness and regulation has made Thailand a standout destination for crypto users and investors. Bitkub, a cryptocurrency exchange in Thailand, is officially licensed by the Ministry of Finance and is widely used by locals, tourists, and expats alike.

This new crypto sandbox will give tourists an easier way to make use of their cryptocurrencies in Thailand by eliminating the extra steps needed when working with an exchange.

What is the “TouristDigiPay” Sandbox?

TouristDigiPay is an 18-month pilot project aimed at making it easier for foreign tourists to spend money in Thailand. Rather than paying merchants directly in the sandbox introduces a conversion mechanism that avoids several crypto regulatory and security risks.

Tourists convert their cryptocurrency into Thai baht, which is then stored in a highly regulated e-wallet. Travelers can then use Thailand’s well-established QR code payment system at restaurants, hotels, shops, and even small street vendors. Consumers can simply scan the vendor’s unique QR code with the wallet app, confirm the amount, and make the payment.

This initiative is expected to increase tourist spending by as much as 10%, potentially injecting over ฿175 billion into the Thai economy. It also positions Thailand as one of the first countries in the world to integrate cryptocurrency spending into mainstream tourism in a legally structured way.

How Thailand’s Crypto Sandbox Will Work

The system is designed to be simple for tourists while maintaining strict safeguards for regulators and businesses:

• Conversion First, Payment Later: Tourists cannot pay merchants directly in crypto. Instead, funds are exchanged into baht through licensed operators approved by the Bank of Thailand.
• Merchant Limits: Approved merchants can receive up to ฿500,000 per month in payments, while smaller vendors are capped at ฿50,000. These limits help regulators monitor and control transaction flow.
• Strong Compliance Controls: E-wallets and transactions are screened against blacklists to prevent money laundering, fraud, or the use of illicit funds. KYC and customer due diligence (CDD) measures are mandatory.
• Expansion Possibilities: Officials have suggested that, if successful, the sandbox could later support higher-value transactions, such as property purchases, luxury yachts, or other big-ticket items.

This approach ensures that Thailand benefits from an influx of crypto-holding tourists without undermining its financial stability or tarnishing its reputation with rampant fraud.

Crypto Risk in Thailand, and How Siam Legal Can Help

While TouristDigiPay opens new opportunities, it also raises important legal and regulatory considerations for businesses and individuals.

Foreign businesses operating in Thailand’s tourism, retail, or property sectors must be aware of their compliance obligations when engaging with crypto-related payments. Issues such as taxation, reporting requirements, merchant licensing, and data protection can create risks if not properly addressed.

For tourists, crypto holders, and entrepreneurs, there are also legal questions around disputes, fraud, or contract breaches that may arise in connection with crypto transactions.

This is where Siam Legal can help. With over 20 years of experience serving English-speaking clients in Thailand, our Cyber Law Team combines knowledge of corporate, financial, and digital law with practical business insight. We offer:

• Regulatory Compliance Advice for businesses operating in the crypto space
• Risk Management Strategies to minimize exposure to AML or tax liabilities
• Cybersecurity and Security Awareness Training to help businesses avoid digital fraud and cyberattacks
• Contract and Dispute Resolution Services for crypto-related agreements
• Criminal Defense/Prosecution and Civil Lawsuit Services for crypto fraud and other financial crimes
• Guidance for Tourists and Expats on how to navigate Thailand’s evolving digital asset framework safely

By working with a firm that understands both Thai law and the realities of international business, you gain the confidence to embrace new opportunities while staying protected. Contact Siam Legal today and secure your finances.

Category: Technology