Vietnam Makes History: Crypto Legalization Sparks Digital Economy Revolution

Vietnam just dropped a blockchain bomb—and traditional bankers are sweating.

The Southeast Asian nation''s new crypto legalization law doesn''t just open doors—it kicks them down. Suddenly, Ho Chi Minh City looks hotter than a GPU farm in July.

From Ban to Boom

Remember when Vietnam''s central bank called crypto ''illegal''? Neither does Hanoi. The 180-degree pivot positions Vietnam as Asia''s newest crypto tiger—while regional neighbors cling to their regulatory chokeholds.

Tech Sector Tsunami

Local Web3 startups are already scrambling for office space. Venture capital? Flowing faster than memecoins on Solana. The government''s betting big that digital assets will do for Vietnam what manufacturing did in the 2010s.

The Fine Print

Of course there''s a catch—this is finance, after all. The law includes KYC requirements so strict they''d make a Swiss banker blush. But hey, at least now you can legally lose money on shitcoins instead of doing it in regulatory limbo.

As Vietnam''s digital economy gears up for liftoff, one thing''s clear: the ''crypto winter'' narrative just hit tropical heat. Just don''t tell the IMF.

TLDR

• The National Assembly of Vietnam approved the Law on Digital Technology Industry on June 14, 2025.
• The law will take effect on January 1, 2026, and introduces regulations for digital and crypto assets.
• It classifies digital assets into crypto assets and virtual assets but excludes digital fiat and securities.
• The government will define rules for licensing, classification, and business conditions under the new framework.
• Cybersecurity and Anti-Money Laundering measures will follow international standards to address global compliance concerns.

Vietnam has officially legalized crypto assets under a new law passed by the National Assembly on June 14. The Law on Digital Technology Industry introduces a formal regulatory structure for digital assets and innovation. It will take effect on January 1, 2026, and aims to transform Vietnam’s digital economy.

New Law Recognizes Crypto Assets and Virtual Assets

The law defines digital assets under two categories: crypto assets and VIRTUAL assets, which exclude digital fiat currencies and securities. Both asset types rely on encryption and digital technologies, but neither is classified as a financial instrument. The law mandates that the government develop regulations on classifications, business conditions, and supervision methods.

The legislation also includes cybersecurity provisions and Anti-Money Laundering (AML) controls that align with international practices. These measures are seen as a response to the Financial Action Task Force’s concerns since Vietnam remains on its gray list. Authorities aim to improve transparency and reduce illicit finance risks through these compliance efforts.

Vietnam Positions Itself as a Global Digital Tech Hub

Beyond digital assets, the law supports broader technological development with incentives for companies in AI, semiconductors, and infrastructure. Enterprises working on Core technologies like chip design and AI data centers will receive tax breaks, land-use rights, and R&D funding. Regional governments are instructed to back this vision through workforce training, education reforms, and subsidies.

New policies require schools to include digital technology skills across the national curriculum to prepare future professionals. Workforce development will focus on high-tech sectors, especially where local talent gaps exist. As a result, both local and foreign firms are expected to benefit from Vietnam’s push to modernize.

Scams Expose Urgent Need for Regulation

Vietnam’s crypto sector has seen scams that highlight the need for legal clarity and investor protection. In February 2025, police arrested four suspects behind BitMiner, a fake crypto mining platform that defrauded over 200 people. Victims lost more than 4 billion dong through false mining packages and fake education tools.

In another case in December 2024, Hanoi police blocked a crypto scam involving 300 potential victims. The scheme, named Million Smiles, had already stolen 30 billion dong from hundreds of people and businesses. It falsely promoted a cryptocurrency called QFS using spiritual and deceptive marketing tactics.