Vietnam has taken a significant step into the digital future with the passage of the Law on Digital Technology, regulating cryptocurrencies and digital assets. The new law, approved on June 14, 2025, will come into effect on January 1, 2026, establishing the first comprehensive legal framework for digital assets in the country.
Key Features of the New Law
The Digital Technology law formally recognizes cryptocurrencies and digital assets as legitimate financial instruments in Vietnam. Key provisions include:
- Formal Legal Recognition: cryptocurrencies and digital assets now have legal status, ending years of regulatory uncertainty. - Asset Classification: digital assets are categorized into virtual assets, meant primarily for exchange or investment, and crypto assets, which utilize encryption for verification, creation, and transfer. - Regulatory Oversight: the government will develop detailed regulations for business operations, licensing, and compliance with international standards.
Incentives for Tech and Innovation
The law introduces tax exemptions and support for companies in sectors such as digital assets, blockchain, AI, and semiconductors:
- Tax and Land-Use Breaks: implementation of tax exemptions and R&D support. - Workforce Development: local governments are required to implement training programs incorporating digital technology skills. - Innovation Support: legislation encourages controlled technology experimentation and development of digital infrastructure.
Security, Compliance, and Global Alignment
To ensure safety and compliance, robust cybersecurity measures and anti-money laundering regulations must be implemented. Key aspects include:
- Consumer Protection: enhancing consumer rights in cryptocurrency transactions and ensuring transparency. - Global Alignment: the law aims to align Vietnam with FATF recommendations to improve its financial reputation on the international stage.
The adoption of the new law underscores Vietnam's strategic commitment to developing advanced technologies and enhancing its position in the global digital economy. The country joins major players like Japan and the EU in setting new standards for digital asset regulation in Southeast Asia.
