BoT Considering Use of Stablecoins

[webfact]

 

By Thammarat Thadaphrom

    

BANGKOK (NNT) - The Bank of Thailand (BoT) is planning to promote the use of Stablecoins to pay for goods and services and to help develop financial innovation.

 

The central bank has been drafting regulations on the use of digital assets, which will be implemented soon. The bank has also been studying how federal banks in other countries supervise digital assets.

 

According to the BoT’s senior director of the economic and policy department, Sakkapop Panyaukul,

some countries ban the use of digital assets, some wholly support them, while many others use a neutral policy.

 

For example, El Salvador has been using Bitcoin as its legal tender.

 

On the other hand, China bans cryptocurrencies entirely and lists cryptocurrencies and related assets as illegal.

 

Meanwhile, many central banks take a neutral stance. Singapore’s central bank adopted digital tokens, which qualify as e-money under the Payment Service Act. Malaysia’s central bank says cryptocurrencies are not a payment instrument.

 

Mr. Sakkapop said the BoT also uses a neutral policy on the use of digital assets but also does not support digital assets as an instrument of payment, but supports cases that help develop finance and innovation.

 

-- © Copyright NNT 2022-01-26

 

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[RandiRona]

 

15 minutes ago, webfact said:

For example, El Salvador has been using Bitcoin as its legal tender.

 

I would say before they copy paste someone else IDEAS, just think about repercussions, 

An Entire Country Switched to Bitcoin and Now Its Economy Is Floundering (futurism.com)

 

IMF Urges El Salvador to Discontinue Bitcoin’s Legal Tender Status (coindesk.com)

The global financial institution said that bitcoin’s use as legal tender posed risks to El Salvador’s financial stability, integrity and consumer protection.

[timendres]

34 minutes ago, RandiRona said:

IMF Urges El Salvador to Discontinue Bitcoin’s Legal Tender Status (coindesk.com)

The global financial institution said that bitcoin’s use as legal tender posed risks to El Salvador’s financial stability, integrity and consumer protection.

I am sure the IMF has only altruistic intentions.....

[RandiRona]

28 minutes ago, timendres said:

I am sure the IMF has only altruistic intentions.....

Ok Comrade! Here is what China says

https://www.nytimes.com/2021/09/24/business/china-cryptocurrency-bitcoin.htm

China intensified its crackdown on cryptocurrency on Friday, declaring all financial transactions involving cryptocurrencies illegal and issuing a nationwide ban.

[ukrules]

If they do anything different to China I will be mildly surprised.

 

Not massively surprised but mildly surprised ????

[klauskunkel]

4 hours ago, webfact said:

For example, El Salvador has been using Bitcoin as its legal tender.

Yes they have. And they are also quite similar to Thailand in their Corruption Perception Ranking.

Coincidence? Maybe, but interesting that countries with perceived high systemic government corruption want to use crypto currencies. Maybe it will help control their corruption? Maybe the opposite?

[Whale]

All countries are looking at this, its a national digital currency rather than an existing stablecoin. 

If you dig you will find some particular private stablecoin chains are already technology sharing with certain countries. 

[GrandPapillon]

just a question of time before everyone start understand than cryptos are nothing more than useless algos not creating value or cash flow, and it's all for show only

 

like tulips are for your garden ????

 

[ukrules]

26 minutes ago, GrandPapillon said:

just a question of time before everyone start understand than cryptos are nothing more than useless algos not creating value or cash flow, and it's all for show only

 

like tulips are for your garden ????

 

Will you continue to say the same when central banks issue their own crypto currencies?

 

Because in a way you will be right, the central banks make money out of thin air all the time and have done for a very long time.

 

The only difference between a central bank digital currency and one of the 'mined' crypto currencies is who's doing the minting - all money comes out of thin air.

[GrandPapillon]

Just now, ukrules said:

Will you continue to say the same when central banks issue their own crypto currencies?

 

it's not going to happen, and if you understand how macro-economics and monetary policies worked, most cryptos fans don't, you would understand immediately how cryptos is not even an option

 

it's like replacing "water" with "air" in a water pressure pump to run your windmill ????

[GrandPapillon]

3 minutes ago, ukrules said:

Because in a way you will be right, the central banks make money out of thin air all the time and have done for a very long time.

they don't create money, the create marketable debt, that's the main difference, and they can do it as they will. That's why we have taxes, so they can pay back investors with interests ????

 

4 minutes ago, ukrules said:

The only difference between a central bank digital currency and one of the 'mined' crypto currencies is who's doing the minting - all money comes out of thin air.

hardly, it's more complicated than that. The "minting" is not really "minting", you are not creating anything, it's an endless loop with no purpose.

 

If you don't have purpose, you have "emptiness", and that's what cryptos are ????

[alextrat1966]

34 minutes ago, GrandPapillon said:

they don't create money, the create marketable debt, that's the main difference, and they can do it as they will. That's why we have taxes, so they can pay back investors with interests ????

 

hardly, it's more complicated than that. The "minting" is not really "minting", you are not creating anything, it's an endless loop with no purpose.

 

If you don't have purpose, you have "emptiness", and that's what cryptos are ????

Which is hardly any different to the US printing machine. 

[GrandPapillon]

40 minutes ago, alextrat1966 said:

Which is hardly any different to the US printing machine. 

wrong again, if you understand basic macro-economics, debt and "monetary injection" create value when done in good measure. The problem is good measure, that definition is not set, and the FED has been excessive in the past in that regard.

 

But again, the alternative to a FED intervention would be total economic collapse, and that would force us to question capitalism and move to full socialism in order to survive as a species :p

 

[GrandPapillon]

42 minutes ago, alextrat1966 said:

Which is hardly any different to the US printing machine. 

wrong again, if you understand basic macro-economics, debt and "monetary injection" create value when done in good measure. The problem is good measure, that definition is not set, and the FED has been excessive in the past in that regard.

 

But again, the alternative to a FED intervention would be total economic collapse, and that would force us to question capitalism and move to full socialism in order to survive as a species ????

 

[alextrat1966]

5 minutes ago, GrandPapillon said:

wrong again, if you understand basic macro-economics, debt and "monetary injection" create value when done in good measure. The problem is good measure, that definition is not set, and the FED has been excessive in the past in that regard.

 

But again, the alternative to a FED intervention would be total economic collapse, and that would force us to question capitalism and move to full socialism in order to survive as a species ????

 

Heh, yes debt and “printing money” create value. But printing non stop create inflation… 

 

Different but in the end it’s the same as crypto. People believe in the USD, but if you come to think about it, not much backs it’s value. 
 

 

[GrandPapillon]

6 hours ago, alextrat1966 said:

Heh, yes debt and “printing money” create value. But printing non stop create inflation… 

 

Different but in the end it’s the same as crypto. People believe in the USD, but if you come to think about it, not much backs it’s value. 
 

 

it has nothing comparable to cryptos,

 

cryptos are pure fraud, period. It's pure deception

Edited January 26, 2022 by GrandPapillon