Central Bank Digital Currency

Abstract

Digital Baht, issued by the Bank of Thailand (BOT), is referred to as digital currency, and digital Baht is real currency but exists in the form of digital that cannot be physically touched (not in the form of cash or traditional banknotes). Digital Baht differs from cash in the form of banknotes and coins. Typically, when using cash, one must withdraw money from a deposit to use it in transactions between individuals. This is different from digital Baht, which cannot be physically touched but is issued by the Bank of Thailand. It can be used to legally settle debts and has state-backed assets, similar to cash. Therefore, before it can be used, individuals must exchange their deposits/cash and store them in a digital wallet, which is then kept in an application on a smartphone provided by the bank or financial service providers authorized by the Bank of Thailand. However, for those without smartphones, internet access, or bank accounts with financial institutions, access to the service is possible through cards that use contactless technology for payments.