Thai Bank Wants To Enter The DeFi Sector

A prominent bank in Thailand, KBank or Kasikornbank, experiments with DeFi. The bank, one of the biggest in Thailand, has identified DeFi, asset-backed, as possessing the potential to establish Thailand economic value. The Bangkok Post reported that the bank’s DeFi exploration is spearheaded by KBTG (Kasikorn Business Technology Group), the bank’s tech subsidiary.

KBTG Spearheads KBank’s Experiment with DeFi

One of the biggest bank in Thailand, KBank, has started experimenting with Decentralized Finance services as one of its growth plans. And now, the Bangkok Post reported that the bank’s DeFi exploration is spearheaded by KBTG (Kasikorn Business Technology Group), the bank’s tech subsidiary.

In reaction to the KBank’s DeFi move, Ruangroj Poonpol, KBTG chairman, stated that DeFi is KBank’s strategic exploration this year. This project is explored via KBTG over the firm’s digital transformation program in the second phase. The KBTG chairman believed that DeFi could have the key to enhancing financial inclusion in Thailand through inventive financial service access. Decentralized Finance can create financial value for Thailand using an asset-backed form.

Decentralized Finance can create Financial Value for Thailand- KBTG Chairman

Decentralized Finance can create financial value for Thailand using an Asset-backed form. This Asset-backed DeFi has regulatory hurdles, considering its real-world assets interactions. Like Rune Christensen, industry participants already began demanding regulators and DeFi stakeholders engagement when decentralized finance continues transitioning to the main arena.

The adoption of DeFi in cards makes KBank look for expansion in Southeast Asia, particularly in nations such as Vietnam, where two-thirds of the residents are still unbanked. What’s more, DeFi foray of KBank comes at the Kbank’s dominance in Thailand digital banking aspect. The Thai lender via assets accounts for about 40 per cent of the country’s digital banking records since it is the biggest mobile banking in the nation with more than 16 million customers on its app.

In another vein, KBank has a record of blockchain and crypto adoption in the country. In September 2018, KBank, with Visa’s B2B solution, attempted transactions on cross-border payment. Also, KBank, through its KBTG subsidiary, handles a trading platform in conjunction with the Thailand’s Stock Exchange.