Vietnam has taken a monumental step in its digital transformation journey by legalizing cryptocurrency under a new comprehensive digital technology law. This landmark legislation, set to take effect in 2026, not only recognizes digital assets but also introduces sweeping incentives for the broader digital technology industry, signaling Vietnam’s ambition to become a global tech leader.
A New Era for Digital Assets
The newly approved Law on Digital Technology Industry, passed by the National Assembly of Vietnam on June 14, brings digital assets under regulatory oversight. This move is a significant development for the cryptocurrency landscape in the country.
- The law categorizes digital assets into two distinct types: virtual assets and crypto assets. Both rely on encryption or digital technologies for validation and transfer.
- Crucially, neither category includes securities, digital fiat currencies, or other traditional financial instruments.
- The Vietnamese government is now tasked with developing specific business conditions, classifications, and oversight mechanisms for these asset types.
- The legislation also mandates robust cybersecurity and Anti-Money Laundering (AML) safeguards, aligning with international norms. This effort is likely aimed at addressing concerns from the Financial Action Task Force (FATF), as Vietnam has been on the FATF “gray list” since 2023.
Vietnam’s Global Tech Ambitions
Beyond the legalization of cryptocurrency, the new law underscores Vietnam’s strategic vision to establish itself as a leading digital technology hub. The legislation introduces a range of incentives designed to foster innovation and growth in key technological sectors.
- Incentives for Enterprises: The law provides significant incentives for companies operating in artificial intelligence (AI), semiconductors, and digital infrastructure. These include:
- Tax breaks
- Land-use benefits
- Research and Development (R&D) support, particularly for firms developing core technologies like chip design and AI data centers.
- Workforce Development: Regional governments are directed to support workforce development through subsidies and training programs.
- Education Integration: National curricula will integrate digital technology skills, ensuring a future-ready workforce.
This comprehensive approach positions Vietnam as a pioneer, being the first country globally to enact a standalone law specifically dedicated to the digital technology industry.
Addressing Past Challenges
While embracing digital innovation, Vietnam has also been proactive in combating illicit activities within the crypto space. Recent incidents highlight the ongoing efforts to protect citizens and businesses from scams:
- In February 2025, Vietnamese police arrested four individuals behind BitMiner, a fake crypto mining platform that defrauded over 200 victims of more than 4 billion Vietnamese dong ($157,300).
- In December 2024, Hanoi City Police prevented 300 potential victims from investing in the “Million Smiles” scam, which had already defrauded 30 billion Vietnamese dong ($1.17 million) from approximately 100 businesses and 400 individuals through a deceptive in-house cryptocurrency called QFS (Quantum Financial System).
These enforcement actions demonstrate Vietnam’s commitment to creating a secure and regulated digital environment as it moves forward with its ambitious technological agenda.
Sources
- Vietnam Legalizes Crypto, Targets Global Tech Leadership, Cointelegraph.
