BANGKOK, 31 July 2019 (NNT) - The Export-Import Bank of Thailand or EXIM Bank has held a seminar on the Libra cryptocurrency recently announced by Facebook, which has caused much concern within the U.S. government. The EXIM bank says the new digital currency may cause major disruption in the trading sector should it ever materialize.

At the seminar, held to raise awareness among business operators, Head of Krungsri Consumer Group at Bank of Ayudhya Public Company Limited Thakorn Piyapan said Libra is a more interesting digital currency concept than other forms of cryptocurrencies, such as bitcoin, which is not backed by financial assets, can be acquired by trading or mining using computer algorithm, and facing up to 1,000% fluctuation daily.

He said Libra provides a more stable digital currency concept as each Libra coin requires a purchase using traditional currencies, which helps stabilize the coin’s value. The digital currency can help reduce costs and fees from products and services purchasing and international personal money transfers, which is now valued at 600 billion U.S. dollar, enabling a more efficient way for global money transfers.

Facebook is, however, facing challenges from global governments and central banks on regulation and security, as the social media company has just been prosecuted and fined about 100 million baht for data leaks of 87 million user accounts.

Thai Fintech Association President Tipayasuda Thawaramorn at this seminar said Facebook’s Libra and other cryptocurrencies are considered important digital financial developments for the future, which will play greater roles in daily lives, as the these currencies work on efficient technological systems, adding that the announcement of Libra by Facebook should be in focus for business operators as future implementation of this currency will affect trading, especially transactions on Facebook’s digital platforms.

National News Bureau Of Thailand