Vietnam has taken a bold leap toward integrating cryptocurrencies into its economy with the passage of the Law on Digital Technology Industry, approved by the National Assembly on June 14, 2025.
Effective January 1, 2026, the law establishes a clear framework for digital assets, distinguishing between virtual assetsc— like non-financial tokens and gaming goods — and crypto assets, such as Bitcoin and Ethereum, which rely on cryptographic technologies.
Notably, the legislation excludes securities, stablecoins, and central bank digital currencies from its scope, providing clarity for investors and businesses navigating the crypto space.
The new law addresses Vietnam’s need for regulatory clarity while aligning with international anti-money laundering (AML) standards, a critical move as the country seeks to exit the Financial Action Task Force’s (FATF) gray list, where it has been since 2023.
By introducing licensing requirements, compliance protocols, and robust cybersecurity measures, the legislation aims to curb fraud, such as the recent MTC exchange scam that defrauded investors of nearly 10 trillion dong (~$400 million).
According to The Investor Vafie Magazine, “the law defines crypto assets as digital assets that use encryption or similar digital technologies for validation during creation, issuance, storage, or transfer.”
This clarity is expected to foster a transparent and secure crypto ecosystem.
Beyond cryptocurrencies, the law promotes innovation in blockchain, artificial intelligence, and semiconductors, positioning Vietnam as a potential digital hub in Southeast Asia.
It includes incentives like tax breaks and research grants to boost technological development, alongside investments in digital education to build a skilled workforce.
By balancing regulation with innovation, Vietnam aims to attract institutional investments and establish itself as a regional leader in digital assets, competing with crypto-friendly nations like Singapore.
This comprehensive approach signals a commitment to a secure, sustainable digital future, fostering confidence among investors and consumers alike.