Thailand open chain block the door, but bitcoin shut the door
KasikornbankPcl is one of Thailand’s leading retail bank, is also the fourth biggest bank assets, and IBM has signed an agreement to block chain services using Linux Hyperledger development foundation. The announcement marks the first time in all countries in the banking turmoil embrace block chain technology.
On Thursday at a joint press conference held in Bangkok, Thailand IBM executive director MS ParnsireeAmatayakul and Kasikornbank Technology Group Vice President Mr. SomkidJiranuntarat announced that the blockchain service will be put into use in the first half of 2017.
The advantage of speech includes a document referred to keep improving accuracy, more standardized, to eliminate the risk, strengthen the safety authentication faster and various banking system. Jiranuntarat said, the bank is also working with other Thailand banks for sharing block chain network.
“KBank is a leading financial institutions, to continue to adopt advanced technology to enhance the customer experience is famous. We are very pleased to continue to support KBank important initiatives on the blockchain, at the same time, these projects will be of great value for the bank to bring.”
-IBM Thailand director general manager Ms. ParnsireeAmatayakul
The 71 year old Kasikornbank, commonly known as KBank, is Thailand’s fourth largest retail, commercial and bank loans. Last year, the bank operates 1120 branches, 9349 ATMs and 159 exchange booths. There are branches in six other countries, including one in Losangeles, the only city of Thailand is located in the United states.
In 1973, KBank, later known as the farmers bank, is the first to provide credit card services Bank, founded the first financial innovation in Thailand precedent. In April, the bank has been revealed for the new FinTech (Financial Technology) project for 5 billion baht, about $143 million.
The Central Bank of Thailand (BOT) recently began to promote the FinTech, launched a new regulatory sandbox, which enterprises can test innovative products, services, business models and delivery mechanisms.
Sandbox is for banks, non bank financial design technology developers and technology companies, these institutions have enough capital and human resources, innovation can provide loans, payment and remittance services and products.
Encourage enterprises lack of funds (such as start-ups) join the incubator program, and plans to seek sponsorship before joining the sandbox. Thailand residents, business start-ups and entrepreneurs can have the opportunity to share their opinions and concerns on the sandbox in a month’s time.
“If the sandbox products and services can provide convenience for consumers, safety and protection, the central bank may consider adjusting KYC (know your customer) rules, in order to facilitate the use of these products and services.”
The application of -BOT financial institutions senior director of VirekaSuntapuntu (translation)
A new joint venture with the new environment, this is for several purposes. KBank explained in detail, the joint venture of Hyperledger chain based on block will first be used to verify the blockchain after a time stamp of the original document.
The bank explained that the platform called OriginCert, originally used to verify the credit guarantee, which helps to speed up the issuance process. There will also be an authorization scheme, authorized party security check and write each letter, make OriginCert more similar to the document supply chain services, rather than a simple time stamp application. The API can also be extended to authorized institutions, such as the participation of commercial banks and government organizations.
The OriginCert team has been in the field of IBMBluemixGarage network in Singapore’s work, while waiting for the start of the sandbox. IBM is one of the founding members of the Hyperledger, this is a solution of distributed books by recognition and cross industry open standards important characteristic, so as to promote the development of the block chain technology alliance. The license type private, block chain no additional encryption currency, and through a variety of ways, including dealing with legal tender.
Block chain and cloud services play a key role in the improvement of business transactions, this project shows great potential advantage in the financial industry outside.”
Thailand – managing director of IBM ParnsireeAmatayakul Ms.
At the same time, the legal status of bitcoin in Thailand from the beginning has been questioned, the precursor of encryption currency only trouble. Long before the government abandoned the previous constitution and banks to comply with a law, bitcoin status problems.
According to a statement from the BOT, in July 2013, the first and largest bitcoin exchange BitcoinThailand Thailand shut down more than a month after the operation, which also led to the use of bitcoin in Thailand is considered illegal behavior.
Although the international media widely reported that the country that the use of bitcoin is illegal, but the law power of the central bank has never made a law, and only issued a preliminary ruling, even if bitcoin is “due to the lack of existing legal and illegal”.
To apply to the government permit, BitcoinThailand recovery services, and since then has been careful operation. Competitors have begun to appear, several bitcoin ATM has appeared in Bangkok.
However, the next year, a military coup led to the government, and most of the existing law replaced the constitution. The military government took control of the country, shameless prohibition against signs, such as the 1984 Hunger Games movie and George Orwell’s three finger salute.
The media and the Internet are now controlled by the government, last year the government announced plans to install a powerful firewall in Thailand, “it is more convenient to monitor and intercept the inappropriate material.” Since bitcoin users has been quietly engaged in their business at the same time, many digital communication and media companies are considered together to leave the country.
“I think most private digital companies may leave or give up. Only a few have close relationship with the government sector will agree to the suggestion, but you sacrifice the diversity and freedom needed to thrive.”
The National Radio and Television Commission Commissioner SupinyaKlangnarong