Vietnam starts five-year pilot licensing regime for crypto exchanges

Vietnam, in Southeast Asia, has launched a pilot licensing regime for crypto asset exchanges as its first formal step towards regulating a sector operating without clear legal oversight for years. 

Vietnam’s Ministry of Finance said it began accepting applications on Tuesday from businesses interested in offering crypto asset trading services. The applications fall under procedures outlined in Decision No. 96/QD-BTC, issued the same day. It also introduced three new administrative procedures governing how VASPs’ licenses are issued, modified, or revoked. 

5-year regulatory pilot opens door to formal oversight

Last year, the Vietnamese government unveiled a 5-year pilot program to test crypto trades, culminating in Government Resolution No. 05/2025/NQ-CP, issued in September. During this period, only licensed service providers in the finance ministry registry will be permitted to operate trading systems. 

Companies that want to run crypto trading services would only be allowed to do so through these providers and must be incorporated as limited liability companies or joint stock companies. Each entity must have a minimum charter capital of VND 10,000 billion, contributed entirely in Vietnamese dong.

At least 65% of the ownership must be held by institutions, with a minimum of 35% held by at least two qualifying organizations. These qualifying institutions include banks, securities firms, fund managers, insurance companies, or technology businesses. 

Service providers must have appropriate premises, information technology systems that meet Level 4 standards as appraised by the Ministry of Public Security, and qualified personnel. 

The management requirements include a general director with at least 2 years of experience at a financial institution and a CTO with at least 5 years of IT experience at a financial institution or technology company. Moreover, staffing rules further require at least 10 employees certified in cybersecurity and at least 10 staff holding securities practicing certificates. 

Vietnam’s crypto market scale led to regulatory interest

According to blockchain analytics firm Chainalysis, the value of cryptocurrency transactions in Vietnam was estimated at between $220 billion and $230 billion from July 2024 to June 2025, an average of more than $600 million in transactions per day. 

The country is among the three largest crypto markets in APAC, with 10% of the total transaction value in the region, trailing only India and South Korea. 

Per the Vietnam government portal, around 10 securities firms and banks have already announced plans to offer crypto asset exchange services once they receive licenses from regulators. 

The licensing regime also introduces detailed rules governing investor participation and cash flows. All investors, including foreign investors and domestic investors who already hold crypto assets, must open trading accounts with licensed service providers in order to trade.

Each foreign investor must open a single VND-denominated cash account at a local bank licensed to provide foreign exchange services. This account will be used for all payments and remittances related to crypto asset trading.

Permitted inflows into these accounts include proceeds from selling foreign currency to licensed banks, transfers from the investor’s VND payment accounts, proceeds from crypto asset sales under the pilot program, balance transfers when switching banks, and interest earned on account balances. 

Outflows include payments for purchasing crypto assets, transfers to other VND payment accounts, purchases of foreign currency for lawful remittances abroad, balance transfers when switching banks, and service fees.

Banks holding these accounts are responsible for verifying transactions and retaining records to ensure compliance with foreign exchange laws and proper use of accounts.

In August, the Military Bank signed a memorandum of understanding with South Korea’s Dunamu. Dunamu operates Upbit, the world’s third-largest centralized crypto exchange and 80% of the market in South Korea, with transaction volumes exceeding $1.1 trillion in 2025.

Military Bank is Vietnam’s fifth-largest lender, with total assets of VND 1.29 trillion as of the end of 2025’s second quarter. In the first six months of the year, the bank reported pre-tax profit of VND 15,889 billion, up 18% from the same period last year.

According to a draft resolution on the digital asset market expected to be submitted to the government, exchange operators will face capital and ownership requirements consistent with those outlined in the pilot program.

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