Vietnam to pilot digital asset and cryptocurrency exchange

Vietnam to pilot digital asset and cryptocurrency exchange

Vietnam is fast-tracking efforts to build a compelling exchange for digital asset and cryptocurrency transactions.

At a government press conference on March 5 in Hanoi, Deputy Minister of Finance Nguyen Duc Chi noted that the ministry (MoF) will submit a resolution for a pilot programme to establish and operate a digital asset and cryptocurrency exchange this month.

The exchange will provide a platform for investors, organisations, and individuals to execute the trading, buying, and selling of virtual assets.

Deputy Minister of Finance Nguyen Duc Chi (standing) at the government press conference. Photo: Tap Chi Tai Chinh

In respect to the management of digital assets and cryptocurrencies, the MoF deputy chief stressed that these are complex and novel issues to Vietnam and around the world.

Vietnam and other countries are conducting in-depth research to to craft suitable legal frameworks and operational models to ensure transparency and support socioeconomic development.

Early this month, the PM and the Government Standing Committee chaired meetings to hear reports from the MoF and relevant ministries and agencies on the status of digital assets, cryptocurrencies, and the direction for building relevant legal frameworks.

“The state will protect the legitimate rights and interests of organisations and individuals participating in this market,” said Chi.

Additionally, the PM tasked the MoF to take the lead in coordinating with relevant ministries, agencies, and organisations to build regulatory frameworks that will allow Vietnamese businesses and organisations to issue virtual assets to mobilise financial resources for their production and business activities.

This will contribute to the overall development of the economy and support growth, keeping pace with global and regional trends in digital asset management.

“These are areas we can catch up with and ensure that Vietnam does not fall behind in this field,” he said.

According to statistics from Chainalysis, a US-based blockchain analysis firm, last year Vietnam ranked fifth globally in terms of interest in digital assets, placing third globally in the use of international trading platforms, and sixth in trading volume on decentralised platforms.

Currently, 17 million Vietnamese people own digital assets, with the total market value exceeding $100 billion. Informal digital asset trading has created a massive underground economy.

VIR