Thailand is set to launch a new crypto payment sandbox that will allow foreign tourists to convert digital assets into Thai baht for spending during their stay. The “TouristDigiPay” project, announced by the Securities and Exchange Commission (SEC) on August 18, will begin in the fourth quarter of 2025 and run for 18 months in collaboration with the Ministry of Finance, the Anti-Money Laundering Office (AMLO), and the Ministry of Tourism and Sports.

Under the scheme, tourists will not be able to pay directly with cryptocurrencies. Instead, merchants will receive baht, while strict Know Your Customer (KYC) and due diligence rules from AMLO will apply. Safeguards include monthly spending limits and a ban on direct cash withdrawals. SEC Secretary-General Pornanong Budsaratragoon said the system integrates the regulated digital asset trading infrastructure with Thailand’s e-money ecosystem, ensuring risk management and consumer protection.

The initiative comes amid growing concerns about Thailand’s tourism slowdown. The country welcomed 16.8 million visitors in the first half of 2025, down from 17.7 million the year before, with a sharp decline in arrivals from China and East Asia. Competing destinations like Japan and Vietnam are attracting travelers with cheaper options, making it crucial for Thailand to find new ways to draw visitors.

Thailand has been experimenting with crypto in tourism since January, when it announced a pilot program in Phuket allowing visitors to pay for goods and services with digital assets. The TouristDigiPay rollout builds on those efforts.

Globally, crypto adoption in tourism is accelerating. Bhutan partnered with Binance Pay to integrate crypto into its travel sector, while the UAE teamed up with Crypto.com to enable flight payments in digital currencies. Even Jeff Bezos’ Blue Origin now accepts Bitcoin and other tokens for space travel. Thailand hopes its new sandbox will give it a competitive edge in the battle for global tourists.