In a significant move, Vietnam has formally acknowledged digital and cryptocurrency assets through a new law, marking a crucial step towards regulating and boosting the cryptocurrency sector. The Digital Technology Industry Law, which was enacted on June 14, will become effective on January 1, 2026, and provides a comprehensive framework for overseeing digital assets and fostering innovation in blockchain technology, as reported by local media.
This legal acknowledgment is part of Vietnam's efforts to enhance its standing in the Financial Action Task Force rankings, a global organization that sets standards to combat money laundering and terrorist financing. Currently, Vietnam is listed on the FATF's grey list due to inadequate anti-money laundering controls, particularly with regards to virtual assets.
The law classifies digital assets into two categories: virtual assets and cryptocurrency assets, with the latter distinguished by its use of encryption for validating creation and transfer. The legislation empowers the Vietnamese government to establish specific regulatory requirements, including measures to prevent money laundering and standards for cybersecurity that align with international norms. In addition to its regulatory role, the law introduces a range of incentives aimed at blockchain startups and developers of digital infrastructure, including government subsidies, tax exemptions, and special visa arrangements.