#VietnamCryptoPolicy ### Vietnam Advances in Cryptocurrency Regulation

On June 14, 2025, Vietnam took a significant step towards cryptocurrency regulation by approving the Digital Technology Industry Law, which will come into effect on January 1, 2026. This law officially recognizes digital assets, distinguishing between virtual assets and cryptocurrencies, and excluding securities and digital fiat currencies. The goal is to boost innovation in the tech sector, positioning Vietnam as a prominent tech hub in Asia.

The new regulation also establishes cybersecurity and anti-money laundering (AML) measures that comply with international standards, especially after Vietnam's inclusion in the FATF's "Grey List" in 2023. This implies greater control to ensure transparency and security in cryptocurrency transactions.

The government must now define the permitted commercial activities and establish appropriate levels of oversight, including a regulatory "sandbox" for exchanges that will be implemented in 2026. In addition to regulating cryptocurrencies, the law encourages the development of emerging technologies such as artificial intelligence and semiconductors, offering tax incentives and support for research.

This initiative reflects Vietnam's commitment to balancing innovation with regulation, seeking to attract foreign investment while combating fraud, such as the recent $100 million case. However, the challenge lies in implementing effective regulations that do not hinder the growth of the crypto market, ensuring that Vietnam maintains its position as a leader in blockchain technology in the region.