Crypto Gets Legal Green Light in Vietnam with Digital Law Approval

On 14 June, Vietnam’s National Assembly passed the Law on Digital Technology Industry, marking a pivotal step in formalising the country’s regulatory approach to digital assets.

Set to take effect on 1 January 2026, the legislation introduces a comprehensive legal framework aimed at fostering innovation while imposing necessary oversight on the growing digital economy.

At the heart of the law is the official recognition of crypto assets, establishing the groundwork for regulated digital asset activity nationwide.

The law classifies digital assets into two distinct categories: crypto assets and virtual assets.

Both rely on encryption or digital technologies for validation and transfer, yet crucially exclude securities, digital fiat currencies, stablecoins, and other traditional financial instruments.

Crypto assets are defined as digital instruments built on encryption and blockchain technology, designed for creation, issuance, storage, and transfer.

These typically include tokens used to validate transactions or confirm ownership across distributed networks.

Virtual assets, on the other hand, are primarily investment or trading vehicles, lacking the foundational infrastructure or regulatory characteristics of other financial products.

The legislation empowers the Vietnamese government to establish definitions, set operational standards, and determine business conditions for both asset types.

Additionally, it mandates robust anti-money laundering (AML) and counter-terrorism financing (CTF) measures to ensure compliance with global norms.

These provisions are widely viewed as a response to Vietnam’s inclusion on the Financial Action Task Force (FATF) "gray list" in 2023, signalling an effort to improve financial transparency and international standing.

Beyond crypto regulation, the law lays a strategic foundation for Vietnam’s broader digital transformation.

It introduces a suite of incentives for technology firms in fields such as artificial intelligence (AI), semiconductors, and advanced computing.

Companies working in these sectors can expect support in research and development, workforce training, and shared infrastructure initiatives—a clear signal of the country’s ambition to become a global hub for high-tech innovation.

As implementation begins, Vietnam’s next challenge will be to translate the law’s broad ambitions into clear, actionable policy—one that balances innovation with security, and opportunity with accountability.

Momentum Builds Behind Digital Literacy and Investor Protection Efforts

The new law also underscores the importance of building a digitally skilled workforce.

To that end, provincial authorities are now responsible for designing localised education and training programmes, tailored to the evolving demands of the digital economy.

At the national level, the government plans to reform school curricula to integrate digital technology competencies, ensuring that future generations are equipped with the skills necessary to thrive in a tech-driven world.

The Vietnamese government said:

“With this move, Viet Nam has become the first country in the world to enact a standalone law specifically dedicated to the digital technology industry.”

Vietnam Signals Global Ambitions with New Focus on Tech and Digital Assets

Vietnam’s sweeping new legislation reflects a bold vision: to transform the country into a serious force in the global digital economy.

This ambition is not without foundation—according to Chainalysis, Vietnam currently ranks fifth in the world for crypto adoption, underscoring the nation’s robust grassroots engagement with digital assets.

Industry stakeholders argue that a clear regulatory framework will not only legitimise this activity but also make Vietnam more attractive to institutional investors, potentially positioning it alongside established blockchain centers like Singapore.

But the law’s scope extends far beyond crypto.

It lays the foundation for Vietnam to emerge as a regional leader in digital technology by offering a suite of incentives for businesses operating in high-impact sectors such as AI, semiconductors, and digital infrastructure.

These incentives include tax relief, preferential land use policies, and dedicated support for research and development—especially for companies working on foundational technologies like chip architecture and AI-focused data centers.

To support this innovation push, regional governments have been tasked with rolling out workforce development initiatives, including financial subsidies and targeted training.

At the same time, national education policy will evolve to embed digital competencies into school curricula, ensuring that Vietnam’s future workforce is prepared to meet the demands of a rapidly advancing tech landscape.