Vietnam to draft digital asset framework by this month of March.

Vietnam is taking significant steps toward regulating digital assets and cryptocurrencies. On March 2, 2025, Prime Minister Pham Minh Chinh directed the Ministry of Finance and the State Bank of Vietnam to develop a legal framework for managing digital assets and currencies, with a submission deadline set for this month.

This initiative aims to address the absence of specific regulations governing digital currencies like Bitcoin and Ethereum in Vietnam. Currently, existing laws only cover electronic money linked to fiat currency, such as bank prepaid cards and electronic wallets. The lack of a legal framework has led many businesses to register abroad, resulting in a loss of competitive advantage and tax revenue for the country.

The urgency of establishing regulatory measures is underscored by Vietnam’s high rate of cryptocurrency adoption. Reports indicate that approximately 17 million Vietnamese people own digital assets, placing the country among the top nations globally in terms of cryptocurrency ownership. Additionally, the flow of digital assets into Vietnam reached $120 billion in 2023.

The proposed legal framework is expected to provide clear guidelines for businesses and investors, fostering a more secure and transparent environment for digital asset transactions. This move aligns with Vietnam’s broader economic goals, as outlined in Directive No. 05, which seeks to accelerate national economic growth to at least 8% in 2025.

In addition to regulating digital assets, the directive also emphasizes the need for the State Bank of Vietnam to improve the management of interest rates, exchange rates, and credit growth. The central bank has been tasked with monitoring interest rates for deposits and loans at commercial banks to ensure reasonable borrowing costs for residents and businesses.

Overall, the development of a legal framework for digital assets signifies Vietnam’s commitment to embracing technological advancements while ensuring economic stability and growth.