#VietnamCryptoPolicy Vietnam's cryptocurrency policy is complex, with no official legal framework for cryptocurrencies, but strict regulations on their use. Here’s an overview of the current situation:

**1. Legal Status of Cryptocurrency**

- **Not recognized as legal tender**: The State Bank of Vietnam (SBV) has repeatedly stated that cryptocurrencies like Bitcoin are **not legal tender** and cannot be used as payment.

- **Ban on crypto payments**: Since 2018, using crypto for payments is **prohibited**, with penalties for violations.

**2. Trading & Investment**

- **Trading is allowed but unregulated**: While buying, selling, and holding crypto is not illegal, there is **no formal regulatory framework** for exchanges or trading platforms.

- **High-risk warnings**: Authorities frequently warn about the risks of crypto investments (scams, volatility, money laundering).

**3. Mining & Businesses**

- **No explicit ban on mining**, but electricity regulations make it difficult.

- **Crypto-related businesses** (e.g., exchanges, payment processors) must comply with anti-money laundering (AML) laws.

**4. Taxation**

- **No specific crypto tax laws**, but profits may be subject to capital gains or income tax (treated case-by-case).

- Businesses dealing in crypto must follow general tax rules.

**5. Anti-Money Laundering (AML) & KYC**

- Vietnam follows **FATF recommendations**, requiring crypto service providers to implement **KYC/AML measures** (though enforcement is inconsistent).

**6. Future Outlook**

- The government is **studying regulations** (possibly a licensing system for exchanges).

- A **central bank digital currency (CBDC)** pilot is underway, but no launch date is set.

- Stricter enforcement against illegal crypto activities is expected.

**Key Takeaways**

- **Crypto is not banned**, but using it for payments is illegal.

- **Trading is high-risk and unregulated**—investors have little legal protection.

- **Regulations may tighten** in the future, especially for AML compliance.

Would you like details on a specific aspect (e.g., taxes, exchanges?