Thailand and Hong Kong enter a joint agreement to leverage digital currencies for cross-border transfers
|- Digital currencies are going to be used by Thailand and Hong for faster payments.
- The project comes after a relationship was established between the HKMA and the Bank of Thailand in May.
Thailand and Hong Kong have announced a joint agreement to leverage digital currencies for the facilitation of quicker payment in bilateral trade.
As per reports, the two nations have entered an agreement for the rolling out of a two-tier digital token, as part of the process to create a prototype for cross-border transfers.
The initiative has been dubbed Project LionRock-Inthanon and the first tier involves the issuance of a crypto token to participating banks.
According to the Hong Kong Monetary Authority (HKMA), the second tier will involve the banks distributing these crypto tokens to their corporate customers for settling wholesale payments. The fintech collaboration between the HKMA and the Bank of Thailand was established in May.
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