Vietnams Groundbreaking Move: Legalizing Digital Assets for a New Era of Technological Growth

On June 14, the National Assembly of Vietnam approved the «Law on the Digital Technology Industry,» which establishes regulatory oversight for the sector, as reported by local media.

The law categorizes digital assets into two types: virtual assets and cryptocurrency assets.

Virtual assets are a form of digital assets used for exchange or investment purposes, explicitly excluding securities, digital representations of fiat currency, or any other financial instruments as defined by law.

Cryptocurrency assets, on the other hand, are digital assets that utilize encryption technology to verify transactions and ownership. Similar to virtual assets, they specifically exclude securities, digital fiat currencies, and other financial assets within the existing legal framework.

The provisions of this legislation will take effect on January 1, 2026. They aim to foster «digital transformation, paving the way for sustainable growth of domestic technology firms, their deeper integration into the global market, and the establishment of new positions for Vietnam on the world stage.»

The government is now tasked with developing specific business conditions and oversight mechanisms for these market directions.

The document also includes cybersecurity measures and anti-money laundering strategies aligned with international standards.

Beyond cryptocurrencies, the new regulations reflect Vietnam’s ambition to become a hub for digital technologies.

The law is designed to enhance the share of domestic production in areas such as AI, semiconductors, and infrastructure through the implementation of strategic initiatives and targeted support policies. Foreign-invested enterprises are encouraged to transfer technology and collaborate with local companies. As part of the incentives, they will receive temporary reductions in income tax for several years.

«This step makes Vietnam the first country in the world to enact a separate law dedicated solely to the digital technology industry,» stated the Vietnamese government.

It is also worth noting that in October 2024, the Vietnamese government adopted the National Strategy for the Application and Development of Blockchain Technology for the next five years.