The financial technology bodies of Thailand and Hungary have entered into a bilateral memorandum of understanding (MOU) to explore the use of blockchain technology in their respective financial sectors.

On Oct 25, 2022, the two countries came into a partnership signed by the Thai Fintech Association (TFA) and the Hungarian Blockchain Coalition.  According to a 26 Oct 2022 Facebook post from the Hungarian embassy in Bangkok, the move allowed both associations to “share experiences, best practices and explore areas potentially beneficial for direct cooperation.”

This innovative move has brought various Hungarian organizations in the digital assets industry into the crypto ecosystem of Thailand. The President of the Thai Fintech Association, Chonladet Khemarattana, has asked companies like WhiteHat, Family Finances, and Digital Farmers Market to not miss the opportunity and to make a swoop into Thailand.

Another quote by the Bangkok Post on Oct 29 quoted TFA president Chonladet Khemarattana as saying that global cooperation is required to pave way for the development of financial technology as already e-commerce, mobile payments, and digital currencies are growing rapidly in Thailand.

He further informed that nations across the globe should come together that would help improve the local virtual assets industry while also stating that Thailand is one of the fastest-growing countries in terms of adoption. In the Chainalysis 2022 Global Crypto Adoption Index, Thailand was ranked 8th, and 20% of the virtual asset users are in Thailand.

The regulators are still stern and testing the use of blockchain and virtual assets in Hungary and Thailand, despite the countries’ efforts to come together and collaborate. In Thailand, where service providers are hoping for a potential ban on the provision of depository services,  regulators are growingly cracking down on digital asset lending platforms.

Gyorgy Matolcy, Hungary’s central bank governor urged the European Union (EU) to press a complete ban on digital assets, that are trading across the region, as according to them digital assets are “speculative” and that “serviced illegal activity.”