In the last few years, the blockchain and cryptocurrency industry witnessed major developments. It can be safely said that renowned FinTech hubs like Switzerland, Singapore, and Hong Kong played vital role in writing this growth story. Now developing economies in Southeast Asia are also keen to lead the charge from the front in cryptocurrency ownership and blockchain regulations. The new entrant on the list is Thailand.
Despite the recent crash in cryptocurrency prices, a wave of enthusiasm prevailed at the World Blockchain Summit that recently took place in Bangkok on December 2, 2019.
Earlier, when the summits first kicked off in 2017, a huge amount of money was invested in blockchain. And, it led to a rise in scandals, potential cyber threats, and unattractive projects.
To the relief of investors, a whopping 90 percent of those projects cease to exist now. And, the remaining projects are reliable that aim to develop the blockchain. A huge amount of funding has been received from institutional funds and investors.
In a major breakthrough for Thailand, a leading global business event and consulting firm decided to zero in on Bangkok after Thai government expressed its interest in controlling and developing cryptocurrency along with Thailand 4.0 development roadmap.
According to reports, in the next 3 to 5 years period, blockchain may accomplish mass acceptance. However, soon after blockchain’s mass adoption, several useful projects may not exist due to dearth in profit. Large scale use of blockchain is paramount for its survival.
Recently, leading Thailand energy company, BCPG carried out some blockchain tests in a bid to trade solar energy. According to an expert, a huge amount of energy produced from rooftop solar has been squandered as the energy largely remains unused.
Earlier, Thailand accepted cryptocurrency rules in May 2018 through a royal decree. However, it did not witness many firms arriving in the country to get authorized and start their operations. Thailand’s Securities and Exchange Commission (SEC) also amended cryptocurrency rules to enhance the growth of the digital asset.
And, with this latest technology, the buildings that produce surplus energy will be able to sell the additional unused power either to other firms or houses via a peer-to-peer framework or back to the electric grid.
The system has been operational at Chiang Mai University, where electric buses are allowed to both receive and return electricity to the school’s power grid.
According to a panelist at the summit, blockchain technology may not hold an answer to all the cybersecurity issues, but it can certainly emerge as the potential enable of things.
Meanwhile, Krungsri Finnovate’s managing director has already expressed his willingness to integrate blockchain technology for addressing various issues that have been staring at the firm. One of these issues includes developing the government’s e-KYC program for tracking digital lending. The bank has also allied with a cryptocurrency popular with several large banks to provide economic and swift fund transfers between Thailand -Laos, and Thailand-Singapore.
Blockchain technology holds tremendous potential for ASEAN countries. Its large scale adoption will directly depend on how effectively the ASEAN countries’ governments create policies for effective regulation and security.