The agreement will bring about technological collaboration that would help drive both nations’ financial businesses.
A bilateral Memorandum of Understanding (MOU) has been signed by Thailand’s and Hungary’s financial technology organizations to facilitate the use of blockchain technology in their national financial sectors.
According to a Facebook post by the Hungarian Embassy in Bangkok, the MOU between the Thai Fintech Association (TFA) and the Hungarian Blockchain Coalition would allow the two organizations to “share experiences, best practices and explore areas potentially beneficial for direct cooperation.”
According to a Bangkok Post article dated October 29, TFA President Chonladet Khemarattana stated that international collaboration is required to advance local financial technology since e-commerce, mobile payments, and digital currencies are expanding quickly in Thailand.
Additionally, he stated that 20% of the world’s cryptocurrency holders reside in Thailand, which was ranked eighth in the 2022 Global Crypto Adoption Index issued in September by analytics company Chainalysis.
The agreement between the two countries was reached at the same time as Thailand’s central bank and a few of its commercial banks participated in a cross-border wholesale central bank digital currency (CBDC) transaction platform testing project utilizing distributed ledger technology in September, 2022.