Thailand Plans To Offer Crypto Payments For Russian Tourists
The Thai authorities are looking to offer digital asset payment options to Russian travelers who cannot facilitate transactions otherwise.
The Phuket Tourist Association (PTA) with Bank of Thailand (BOT) are discussing to find alternative payment methods – including crypto – for Russian tourists in Thailand, as Visa and Mastercard have suspended use of Russian credit cards abroad as part of international sanctions against Russia.
According to PTA president Bhummikitti Ruktaengam there have been discussions on the possibility of Russian tourists using cryptocurrencies as an emergency measure, which would act as a backup in case transactions could not proceed.
He also discussed the possibility of linking Thai businesses with the Russian payment system Mir. Meanwhile tourism businesses are reportedly turning to the Chinese payment platform UnionPay to offer Russian visitors an alternative way of paying their bills.
At the moment there are approx. 3,500 to 4,000 tourists from Russia and 300-400 from Ukraine in Phuket. Another 3,000 tourists from both countries are holidaying in Koh Samui, Krabi and Pattaya, according to the Tourism Authority of Thailand (TAT).
The West committed to remove certain Russian banks from the SWIFT payment system. Also, major companies like Visa, Mastercard, and PayPal announced stopping service to Russian-based clients.
Thailand now seeks to offer alternative cryptocurrency settlement options to Russian and Ukrainian tourists stranded in the country by cancelled flights. Russia’s Aeroflot and S7 airlines have suspended all flights to Phuket.
The government also declared that no tourists from either country will be deported against their will.
Russia Seeks Help From China’s UnionPay
As financial payments providers are announcing departure from the Russian market, the country has turned to alternatives in its southern neighbor China.
According to the Bank of Russia local lenders will be able to employ the UnionPay system, which is headquartered in Shanghai, and operates in more than 180 countries.
The institution also added that several Russian banks already use UnionPay, while others (including Sberbank and Tinkoff) could start issuing cards, which combine Russia’s domestic Mir settlement system with the Chinese one.
