Siam Commercial Bank (SCB) and the Bank of Thailand (BOT) are joining forces to further develop Thailand’s digital currency infrastructure. The latest collaboration involves the creation of the CBDC SCB application, which will serve as a platform for testing the usage of a retail Central Bank Digital Currency (CBDC).
This pilot program is limited to a specific group of whitelisted participants who will have the opportunity to test various features of the app. These features include topping up funds, making payments, transferring money, and converting CBDC back into regular currency.
The partnership between SCB and BOT highlights SCB’s expertise in digital technology and finance, as well as its commitment to working with the central bank to enhance Thailand’s financial innovation infrastructure.
Dr. Chalee Asavathiratham, Senior Executive Vice President and Chief Digital Banking Officer at Siam Commercial Bank, explained that the CBDC SCB application has been designed for the exclusive use of the whitelisted group. The app will be connected to the SCB EASY app, allowing participants to convert CBDC back into regular currency during the testing period. Each CBDC will be equivalent to one baht.
It’s important to note that this initiative is a closed system test and doesn’t involve application to project participants or shops. The retail CBDC remains a project under study, aligned with the BOT’s principle of “Pilot to Learn, Not Pilot to Launch.”
Retail CBDC represents a digital form of money that minimizes risks while maintaining the convenience of holding banknotes. This initiative aims to reduce reliance on intermediaries for exchange, providing the people and businesses of Thailand with access to financial services in new, efficient, and secure ways.
