Vietnam has passed a Digital Technology Law that legalizes digital assets and establishes a framework for artificial intelligence. This is a significant step for the country's digital economy.
Recognition of Digital Assets in Vietnam
On June 14, the Vietnamese National Assembly officially recognized digital assets as legal virtual assets under the Civil Code. Cryptocurrencies like Bitcoin and Ethereum can now be used for investment and exchange, providing legal clarity for investors and businesses.
The new law introduces a two-tier classification system:
* Virtual Assets: Non-financial tokens, loyalty points, and gaming items * Crypto Assets: Blockchain-based assets like Bitcoin, Ethereum, and potentially NFTs
It is important to note that securities, CBDCs, and traditional financial instruments are excluded from this framework.
When Will the New Law Take Effect?
The Digital Technology Law is set to go live on January 1, 2026. It will provide legal frameworks not just for digital assets but also for AI, blockchain, and semiconductor development, positioning Vietnam as a rising digital powerhouse in Asia.
Next Steps for Vietnam
As implementation begins, Vietnam will:
* Set detailed regulatory guidelines for licensing and operations * Enforce compliance standards for financial institutions and crypto service providers * Require strict adherence to AML, CFT, and cybersecurity protocols
This sweeping reform is expected to fuel foreign investment, foster innovation in digital industries, and secure Vietnam’s place on the global tech stage.
Thus, the Digital Technology Law in Vietnam represents a significant step towards the legalization of digital assets and the implementation of technologies, which may lead to an improved investment climate and stimulate innovations.
