June 17, 2025
By Anjali Kochhar
Vietnam has just taken a landmark step into the future of finance and technology. On June 14, 2025, the country officially passed the Law on Digital Technology Industry, legalizing the use of cryptocurrency and outlining a grand vision for a tech-driven economy. This historic move eliminates years of regulatory uncertainty and sets the tone for Vietnam to emerge as a leader in digital innovation across Asia.
With over 17 million crypto holders and annual digital asset transactions exceeding $100 billion, Vietnam already ranks among the world’s top crypto adopters. Yet until now, the absence of clear legal definitions meant most of these activities operated in a gray area, leading to Vietnam’s placement on the Financial Action Task Force (FATF) gray list. The new law directly addresses this by formally defining crypto and virtual assets and committing to building a legal framework that aligns with global standards.
The law defines crypto assets as encrypted digital assets that validate ownership and transactions. Virtual assets, on the other hand, are categorised separately and do not rely on encryption. The regulation deliberately excludes securities and central bank digital currencies (CBDCs), establishing a clear distinction between traditional finance and decentralised digital assets.
Set to take effect on January 1, 2026, this is the world’s first standalone national law fully focused on digital technology. It aims not only to regulate but also to empower Vietnam’s digital transformation. The government envisions building 150,000 digital tech firms by 2035 and unlocking massive economic growth through a regulated and thriving tech ecosystem.
The law mandates ministries such as the Ministry of Finance and the State Bank of Vietnam to create detailed licensing systems, anti-money laundering protocols, taxation rules, and cybersecurity safeguards. It also encourages innovation through pilot programs and regulatory sandboxes that will allow startups to develop and scale new technologies under government oversight.
While this legislative milestone marks significant progress, the challenge now lies in drafting and implementing precise, balanced regulations. If handled well, this could be Vietnam’s breakout moment in the global digital economy. Poor execution, however, could risk driving innovation abroad. Still, with strong intent and strategic vision, Vietnam is positioning itself not just to regulate crypto but to lead with it.
About the author
Anjali Kochhar covers cryptocurrency and blockchain stories in India as well as globally. Having been in the field of media and journalism for over four years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.
