Vietnam Legalizes Cryptocurrency in Landmark Assembly Decision

The Law on Digital Technology Industry, which was approved on June 14, 2025, legalizes cryptocurrency in Vietnam, creating regulatory clarity starting from 2026.

This decision holds importance for setting a legal framework for digital assets, potentially driving increased investment and market activities.

The approval by Vietnam’s National Assembly brings cryptocurrency into its legal framework and signals a significant shift in regulatory approach. Historically cautious due to cyber risk and AML concerns, the government now seeks to integrate digital currencies legally.

“The passage of the ‘Law on Digital Technology Industry’ officially brings crypto assets and virtual assets into a legal framework.”

Vietnamese Government and National Assembly led the legislative process, without direct comments from key officials yet. The law covers cryptocurrencies such as Bitcoin and Ethereum, excluding digital fiat and securities. It takes effect on January 1, 2026.

Market analysts foresee increased activity in DeFi protocols due to anticipated regulatory certainty, similar to trends in Hong Kong and Dubai. The law empowers the government to align with international AML standards, addressing FATF “gray list” designation issues.

The legal move may predictably invite an inflow of international capital and growth within Vietnam’s tech sector ecosystem. Enhancing transparency and governance will likely improve Vietnam’s global regulatory standing. Market enthusiasm suggests potential expansion in blockchain services.

Crypto market participants may expect a rise in exchange volumes and transaction activity once the law is fully effective. Investors and developers now hold heightened expectations for innovations and opportunities that align with Vietnam’s new policy direction.