With crypto assets finding favor in the country, Vietnam is to conduct a pilot market program to determine actual potential.

Tech researchers Cointelegraph Research have put the global crypto asset market
at more than $2.5 trillion in 2025, with Asia accounting for over 40 per cent of
the total value. Within the region, Vietnam has emerged as one of the most dynamic
markets, and will be piloting a crypto asset market to lay the groundwork for sustainable
development. But despite its potential, the market faces challenges ranging from
scams to unlicensed fundraising.

Between promise and peril

Despite regulatory gaps, Vietnam continues to rank among the world’s Top 3
countries in crypto ownership, with an estimated 20-21 million people having invested
in or traded digital assets, equivalent to about 21 per cent of the population.

Yet behind this rapid growth lies significant risk. For years, the sector has
operated in a legal “grey zone”, creating fertile ground for scams, illegal fundraising,
and market manipulation. The collapse of the Antex project is a recent example.
After attracting thousands of investors with promises of high returns, the project
quickly unraveled, wiping out hundreds of billions of VND in investments. Earlier
cases such as Ifan, Pincoin, and Sky Mining similarly shocked the public with sophisticated
scams.

According to the Department of Cybersecurity and High-Tech Crime Prevention
at the Ministry of Public Security, authorities uncovered nearly 1,500 online fraud
cases causing losses of more than VND1.66 trillion ($64 million) in just the first
ten months of 2025. A significant share involved crypto and digital asset schemes
spread across more than 1,500 online groups and forums. The figures reflect both
the market’s appeal and investors’ vulnerability amid ongoing legal uncertainty.

While the sector’s potential remains vast, a great deal of capital from Vietnamese
investors continues to flow into foreign exchanges; beyond State oversight and without
contributing meaningfully to national revenue. This combination of regulatory risk
and outbound capital has placed a heavy management burden on Vietnam, while much
of the economic benefit goes overseas.

Against this backdrop, the government’s Resolution No. 05/NQ-CP, which pilots
a domestic crypto asset market, seeks to establish a legal framework for the emerging
asset class. The policy aims not only to curb risks from underground trading but
also to unlock new financial resources and enhance market transparency.

At the recent “Crypto Assets: From Grey
Zone to Pilot Implementation – Solutions for Transparency, Safety, and Efficiency”
online seminar, experts
said Vietnam is pursuing a cautious path – encouraging innovation while managing
risks – instead of imposing an outright ban or fully liberalizing the market, as
seen in other countries.

Dr. Can Van Luc, Chief Economist at the Bank for Investment and Development
of Vietnam (BIDV), said the country is focusing on tokenized assets – a subset of digital
assets – while steering clear of securities or central bank-issued digital currencies
(CBDCs). Oversight responsibilities are clearly divided – the Ministry of Finance
(MoF) manages tokenized assets, and the State Bank of Vietnam (SBV) oversees legal
digital money. “This approach enables both innovation and control, allowing the
market to grow sustainably without freezing investment flows,” Dr. Luc explained.

Meanwhile, Dr. Nguyen Tri Hieu, Director of the Institute for the Research
and Development of Global Financial and Real Estate Markets, said the five-year
pilot program under Resolution No. 05 represents a prudent and realistic approach.
He added that the trial phase will allow regulators to build hands-on experience,
refine oversight mechanisms, and reduce risks of fraud, money laundering, and terrorist
financing as digital asset transactions surge globally.

Shaping a cautious frontier

Vietnam is developing a regulatory framework for its crypto asset market
based on lessons from advanced economies such as Singapore, Japan, and Hong Kong
(China). According to Mr. To Tran Hoa, Deputy Head of the Department of Market Development
at the State Securities Commission (SSC), limiting the number of licensed organizations
to five in the initial phase will help ensure effective oversight, maintain fair
competition, and set the stage for a stronger regulatory foundation.

Internationally, markets like Singapore, Thailand, and the EU have adopted
flexible approaches, creating “sandboxes” for innovation under controlled risk or
recognizing crypto assets as key pillars of the digital economy. These examples
show that regulation and innovation – a model Vietnam aims to follow – can coexist.

Mr. Phan Duc Trung, Chairman of the Vietnam Blockchain Association, noted that
while Vietnam lags behind in establishing a legal framework, close coordination
between the SBV, the SSC, the Ministry of Justice, and the MoF could help the country
reach international standards within three years.

Resolution No.05 adopts a cautious approach that seeks to balance growth with
risk control. However, one notable limitation is that crypto asset issuance and
offerings are currently restricted to foreign investors; a policy that contrasts
with Vietnam’s growing domestic investor base and rising market interest. This raises
concerns about whether such restrictions could hinder transparency and the market’s
sustainable development.

Mr. Hoa emphasized that the market’s appeal lies not in opening too quickly
but in product quality, liquidity, transparency, and security. While Vietnam reports
some 21 million digital asset accounts, that figure is likely overstated since investors
often hold multiple accounts. A bigger concern, he believes, is limited investor
understanding.

Dr. Luc said the market’s long-term success depends on gradually opening participation
to qualified domestic professional investors. Such investors could be defined by
securities experience or accredited training in digital assets, ensuring both safety
and competency.

He added that a phased pilot program allowing domestic professional investors
to participate, alongside finalizing rules for CBDCs, tokenized securities, and
data infrastructure, would create a foundation for long-term stability. Without
tokenized securities, he warned, the market risks falling behind. Digital share
issuances and trading, meanwhile, could open a more transparent, lower-risk, and
accessible fundraising channel for smaller investors.

Building trust through transparency

Transparency is central to market regulation. Companies operating in the sector
must fully disclose information, submit regular reports, and comply with rules on
custody, issuance advisory, valuation, and cybersecurity. Dr. Hieu noted that the
main challenge in piloting crypto assets is not technology but ensuring the identification,
custody, and real-world value of underlying assets.

Even in real estate, with tangible assets, multiple collateralization still
occurs. Meanwhile, Resolution No. 05 does not clarify oversight mechanisms, value
assurance, or conversion ratios between physical and digital assets, leaving investors
exposed.

Vietnam currently lacks a robust system for asset appraisal and ownership insurance
like those in advanced economies, where insurers verify ownership, usage rights,
and potential disputes before banks release funds. This gap makes investor confidence
fragile, particularly when tokenized assets’ real-world values remain unverified.

Dr. Hieu also warned that without transparent valuation mechanisms, the MoF
could face major challenges, as crypto assets may be exploited for speculation or
money laundering. Banks, with blockchain technology enabling full transaction traceability,
are well-positioned to monitor these flows. He proposed routing all crypto transactions
through the banking system as a mandatory checkpoint to prevent money laundering,
speculation, and ensure transparency.

As Vietnam develops digital currencies and derivative products, Mr. Trung added,
the priority must remain on investor protection and risk control. Customers should
be categorized by financial capacity and understanding, with corresponding management
measures. Financial institutions should also guide investors in portfolio allocation,
keeping high-risk products limited while emphasizing safer assets such as bonds.
Sustainable market growth depends on balancing investor protection, market expansion,
and anti-money laundering efforts.

Dr. Luc said effectively implementing Resolution No. 05 will require clearer
guidance on classifying different types of crypto assets, an area still unresolved.
“Digital assets today are highly diverse, from real estate, art, and copyrights
to stocks, and each carries different risk levels,” he said. “Regulation must reflect
that diversity rather than treating all assets the same.”

Box

Under Resolution No. 05/NQ-CP, Vietnam will pilot a crypto asset
market for five years, allowing a maximum of five licensed exchange operators, to
ensure effective oversight and prevent systemic risks. Participating companies must
have minimum charter capital of VND10 trillion ($385 million), with at least 65
per cent contributed by a minimum of two financial institutions such as banks, securities
firms, investment funds, insurance companies, or technology enterprises. Foreign
ownership is capped at 49 per cent, and technology infrastructure must meet Level-4
security standards; the highest currently required for critical data systems.

VET-Phuong Linh