#VietnamCryptoPolicy

Vietnam has made significant strides in cryptocurrency regulation with the passage of the Law on Digital Technology Industry on June 14, 2025. This law marks Vietnam as the first country to enact comprehensive standalone legislation for the digital technology sector, providing a clear regulatory framework for crypto assets.

*Key Aspects of the Law:*

- *Definition of Crypto Assets*: The law defines crypto assets as digital assets relying on encryption technology for transaction validation and ownership, while virtual assets are defined as digital assets used for exchange or investment.

- *Regulatory Framework*: The law establishes a two-tier classification system, separating crypto assets from securities, fiat-backed stablecoins, and Central Bank Digital Currencies (CBDCs).

- *Government Oversight*: The government will develop guidelines for licensing, compliance, consumer protection, and Anti-Money Laundering (AML) standards aligned with international best practices.

- *Incentives for Technology*: The law offers substantial incentives for technology companies, including tax breaks, favorable land-use policies, and research and development subsidies, particularly for chip design and AI data centers ¹ ².

*Impact and Expectations:*

- *Market Confidence*: The law is expected to boost market confidence in Vietnam's digital asset sector and attract institutional investors.

- *Consumer Protection*: The legislation aims to create a safer environment for legitimate cryptocurrency activities by implementing robust consumer protection provisions and AML requirements.

- *Digital Economy Growth*: By providing a clear regulatory framework, Vietnam aims to become a leader in blockchain innovation and digital asset adoption, fostering growth in its digital economy ¹ ³.

*Challenges and Opportunities:*

- *Addressing Fraud*: The new law addresses the need to combat cryptocurrency fraud, which has been a significant concern in Vietnam, with several high-profile scams in recent years.