Regulations on virtual money due by the end of 2017
Regulations on virtual money due by the end of 2017
Prime Minister Nguyen Xuan Phuc has assigned the Ministry of Justice in collaboration with the Ministry of Industry and Trade (MoIT), the State Bank of Vietnam (SBV), and a number of related ministries and agencies to make a draft decree on virtual money (expected to be completed in December 2017) and a draft decree on virtual property (completed in March 2018).
At the moment, there is confusion between e-money, as in digital transactions, and "virtual" money even among regulatory agencies in Vietnam. According to lawyer Truong Thanh Duc, chairman of law firm BASICO and arbitrator of Vietnam International Arbitration Centre, it is crucial to specify the definition of virtual money before crafting the related legal documents.
“If virtual money is determined to be subject to property rights, it will no longer be prohibited and if it’s accepted as a type of money, it will become an accepted means of payment, much the same as “money,” however, there should still be a set transaction limit,” he said.
Finance experts suggested that virtual money might be considered a special kind of goods which could be traded under strict supervision.
Phan Chi Hieu, Deputy Minister of Justice, said there should be clear distinction between "real" and "virtual" money. Besides, as stated by the Ministry of Justice, accepting virtual money and establishing a legal framework for it only aim to make control and oversight easier, not to encourage the development of this kind of money.
Virtual money has not been identified as a legitimate currency or goods by neither the SBV nor MoIT.
Not only is virtual money an issue in Vietnam, it also remains a controversy worldwide. Some countries have accepted payments using virtual money (such as Bitcoin), yet the majority have not. In many countries, including Vietnam, some people buy and sell virtual money in pyramid schemes.
Bitcoin has been used by some famous corporations, including Microsoft. The total value of bitcoins around the world is now over $10 billion. Thus, it is necessary to build a legal framework governing virtual money so that fraud can be prevented and the rights of business and property ownership of people can be ensured as well.
