The Bank of Thailand has issued guidance on stablecoins and has begun developing central bank digital currencies

According to BlockBeats, on March 22, the Bank of Thailand (BOT) issued guidance on stablecoins last Friday and called for input on regulatory consultation. The central bank divides stablecoins into two categories to distinguish between stablecoins backed by the country's currency, the baht, and other stablecoins. The bank's baht-centric approach differs from other central banks that distinguish between fiat and non-fiat currencies, such as stablecoins whose value is pegged to the US dollar and stablecoins pegged to the price of gold. Among them, the baht-backed stablecoin is a stablecoin for daily use, which the BOT calls "electronic money", which is consistent with the term in the country's 2017 Payment Systems Act. Any party who wants to provide a baht-backed stablecoin must seek permission from the BOT. The Bank of Thailand said the policy is consistent with international standards, such as the United Kingdom, Singapore and Japan. Other stablecoins, that is, about the second type. This is a broad category that includes asset-backed stablecoins and algorithmic stablecoins, as well as foreign currency-backed stablecoins. The Bank of Thailand said it is currently developing a retail central bank digital currency "to meet the needs of the general public, improve service efficiency in the commercial sector, and increase access to financial services."