Thai Central Bank Edge Closer to Release of Planned Cryptocurrency

Wilfred Michael 

Wilfred Michael

News reporter

07 May 2019,
14:36
Thai Central Bank Edge Closer to Release of Planned Cryptocurrency

Wipro, the information and technology startup working with the Bank of Thailand (BoT) on its digital currency project said in a Monday press release that they have successfully developed a blockchain-based solution prototype that will power the proposed cryptocurrency.

As per the release, Wipro worked closely with the BoT and enterprise blockchain startup, R3 Corda for the deployment of the solution which is part of the first phase of the project launched in late 2018 and called Inthanon.

Wipro went further to reveal what the use case for Thailand’s cryptocurrency will be, mentioning that it will serve as a unit of settlement for transactions between the country’s central bank and the eight local commercial banks.

The proposed system “will enable domestic fund transfers within the country's interbank system by issuing the CBDC tokens,” thus getting Thailand ready for embracing new technologies and digitization.

Speaking about the success achieved so far on the road to launching Thailand’s Central Bank Digital Currency (CBDC), Wipro’s Vice President Krishnakumar N Menon said,

"We are delighted to have worked on Project Inthanon with R3 and be a part of a national-level fintech initiative. The DLT-powered solution prototype has demonstrated the merits of blockchain technology adoption for making interbank payments more efficient.”

In line with our earlier reports, the Bank of Thailand is not the only central bank country working towards the release of a national cryptocurrency.

In March, the Eastern Carribean Central Bank announced that it was going to release such a cryptocurrency while just last month, the State Bank of Pakistan outlined a CBDC issuance as one of its digitization plans by 2025.

Conversely, the Israeli Central Bank said in November that it would not issue a CBDC soon with the Bank of Korea (BoK) adopting a similar stance and even warning other nations against doing so.

 

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