Vietnam’s new law defines and regulates virtual and crypto assets while excluding fiat and securities.
The law provides investment and tax incentives for AI, semiconductor, and digital technology enterprises.
New rules include FATF-aligned measures to address cybersecurity and anti-money laundering risks.
Vietnam’s National Assembly passed a new law on Saturday legalizing digital assets and establishing regulations for the digital tech sector. The law, under the name the Law on Digital Technology Industry, introduces a regulatory framework that classifies and governs the use of digital assets and sets priorities for innovation in fields like artificial intelligence and semiconductors.
Clear Classification of Digital Assets
Under the new legislation, digital assets are divided into two categories: virtual assets and crypto assets. Virtual assets are used for exchange or investment and do not include securities, digital fiat currencies, or other financial products already defined under civil or financial law.
Crypto assets are based on encryption technologies and are used to verify creation, transfer, and ownership. These assets also exclude securities and fiat representations. The law assigns the government responsibility for determining specific classifications, business requirements, and operational rules for digital asset firms.
It also mandates state agencies to apply international standards in cybersecurity and anti-money laundering. These measures are designed to meet recommendations from the Financial Action Task Force, which placed Vietnam on its “gray list” in 2023.
Digital Sector Development and Investment Incentives
The law, drafted by the Ministry of Science and Technology, will take effect on January 1, 2026. It introduces a legal structure that supports innovation and digital infrastructure development. This includes incentives for companies producing digital products such as software, semiconductors, and AI systems.
The legislation offers tax, investment, and land-use benefits to enterprises working in prioritized sectors. Local governments are required to implement support policies focused on workforce training and hiring subsidies. These measures target companies engaged in AI, chip production, and other digital technology applications.
Semiconductor Supply Chain and AI Risk Control
One of the law’s central goals is to build a complete semiconductor industry in Vietnam. It sets policies to support the entire value chain from research and design to packaging and testing. It encourages foreign investment and domestic resource mobilization to achieve this target.
The law provides incentives for enterprises in the semiconductor supply chain, supporting research and ecosystem development. Additionally, it introduces AI-specific policies, including principles for managing high-risk systems. AI-related training will be integrated into Vietnam’s national education strategy.
Vietnam also plans to uplift its global position by enhancing the regulatory framework. Through the adoption of the international standards, the nation is on its way to dropping off the FATF monitoring list. This legislation provides the basis of expansion in the world of digital and high-tech industries with orderly and enforcible control.