Vietnam Legalizes Crypto Under Landmark Digital Technology Law

Vietnam Embraces Crypto with New Legislation

On June 14, 2025, Vietnam’s National Assembly passed the Law on Digital Technology Industry, a groundbreaking piece of legislation set to take effect on January 1, 2026, legalizing crypto assets and positioning Vietnam.

This law, the first of its kind globally to regulate digital technology comprehensively, classifies digital assets into two categories: virtual assets (e.g., gaming tokens) and crypto assets (e.g., Bitcoin, Ethereum), explicitly excluding securities and digital fiat currencies.

With Vietnam ranking fifth globally in cryptocurrency adoption according to Chainalysis’ 2024 index, the country’s $105 billion digital asset market is poised for significant growth.

The legislation addresses a long-standing regulatory void, spurred by high-profile crypto scams such as BitMiner, Million Smiles, and the $400 million MTC fraud, which underscored the need for consumer protection.

By aligning with Financial Action Task Force (FATF) standards, the law mandates robust Anti-Money Laundering (AML) and cybersecurity measures, aiming to improve Vietnam’s “gray list” status since 2023.

A Broader Vision for Digital Innovation

Beyond cryptocurrencies, the law incentivizes advancements in artificial intelligence (AI), semiconductors, and digital education, signaling Vietnam’s ambition to become a global tech leader.

The legislation is projected to contribute $74 billion to Vietnam’s GDP by 2030, driven by a burgeoning digital economy.

The government is collaborating with crypto exchange Bybit to pilot a national crypto exchange, and the launch of Vietnam’s sovereign Layer-1 blockchain, 1Matrix, highlights its commitment to Web3 development.

Additionally, initiatives like NDAChain and digital identity systems are expected to bolster Vietnam’s blockchain ecosystem.

Vietnam is not just catching up, it’s aiming to lead in the global digital race.

Global Implications and Regional Leadership

Vietnam’s move sets it apart in Southeast Asia, where countries like Singapore and Hong Kong have established crypto frameworks but lack standalone digital technology laws. By legalizing crypto assets and integrating them into a broader tech strategy, Vietnam aims to attract global investment and foster a Web3 boom.

Just days ago, Vietnam was welcomed as a partner country in the BRICS alliance, a move that underscores its accelerating economic development and its rising prominence in keeping pace with global advancements.