Vietnam’s Crypto Pilot: Regulatory Barriers and Market Realities
Vietnam’s Ministry of Finance has confirmed that no companies have applied to join the country’s five-year digital asset trading pilot program, even as global interest in regulated crypto markets grows. This situation points to major compliance hurdles and a narrow product scope that firms must handle to enter Vietnam’s emerging crypto ecosystem. Anyway, at a Sunday news briefing, Deputy Minister of Finance Nguyen Duc Chi told local media that the ministry hasn’t received any proposals from businesses wanting to pilot digital asset trading. The pilot allows up to five participants, and the ministry is speeding up the process to license the first eligible company quickly.
The absence of applicants highlights the tough regulatory environment. Deputy Minister Chi noted that progress depends on how well companies meet the required conditions. This comes nearly a month after the government launched Resolution 05/2025, starting the long-awaited crypto pilot to balance innovation with oversight.
Compared to other Southeast Asian areas, Vietnam’s method seems more restrictive, possibly hurting its ability to compete in the fast-changing digital asset world. While places like Singapore and Hong Kong have lighter capital rules, Vietnam’s framework focuses on caution and control, showing a unique regulatory view.
Looking at broader trends, Vietnam’s careful approach might slow its entry into the global crypto scene, especially as other countries push digital asset adoption. This stance could affect Vietnam’s spot in Asia’s competitive crypto market.
As of now, the ministry has not received any proposals from enterprises.
Nguyen Duc Chi
Capital Requirements and Market Barriers
The capital demands from Vietnam’s rules are a big barrier to entry. According to the Ministry of Finance, licensed crypto asset service providers (CASPs) need at least 10 trillion dong (about $379 million) in capital, similar to what full commercial banks require.
This high capital level is very different from typical fintech startup needs, making Vietnam’s approach one of the strictest in the region. The barrier keeps out many smaller and medium-sized companies that might otherwise join the pilot.
Other Southeast Asian places offer easier paths for crypto firms, with Singapore, Hong Kong, and Japan’s non-bank options in the $1 million to $5 million range. This big gap in capital rules puts Vietnam at a disadvantage in attracting crypto businesses and new ideas.
Vietnam’s capital rules show its cautious take on financial innovation, prioritizing stability over fast growth. This matches the country’s broader financial philosophy but could limit its chances in digital assets.
On that note, global trends suggest strong capital rules can boost stability, but too-high barriers might block innovation and competition. Vietnam’s way balances these needs in the crypto world.
We hope to launch this pilot before 2026. However, the progress will depend on how well enterprises can meet the required conditions.
Nguyen Duc Chi
Product Restrictions and Market Limitations
Vietnam’s rules limit the types of crypto products available, especially targeting fiat-backed assets and tokenized securities. The country bans issuing crypto backed by fiat currencies or securities, which rules out most stablecoins like USDT and USDC, plus a growing set of tokenized securities and money-market funds.
These limits shrink the product range that could draw retail and institutional interest, reducing the appeal of Vietnam’s new crypto market. The ban on stablecoins and tokenized securities cuts out some of the fastest-growing parts of the global crypto scene.
Globally, stablecoin supply recently topped $300 billion, with transfers over $15.6 trillion in Q3 2025. Inflows hit $46 billion that quarter, led by Tether’s USDT, Circle’s USDC, and Ethena‘s USDe, showing high demand that Vietnam’s rules exclude.
Meanwhile, tokenized treasuries rose above $8 billion worldwide, driven by BlackRock‘s BUIDL fund and Franklin Templeton’s BENJI tokens. This growing institutional interest in tokenized assets is another area Vietnam’s rules block at home.
You know, global trends indicate Vietnam’s product limits clash with industry moves, possibly keeping it from benefiting from stablecoin and tokenized asset growth that’s pulling in institutions everywhere.
Global Context and Regional Comparisons
Vietnam’s regulatory style stands out against global crypto adoption and rule-making trends. Although the country ranks fourth globally in crypto adoption per Chainalysis data, its framework looks tighter than many peers in Asia-Pacific.
The Asia-Pacific region leads in global crypto adoption, with nine of the top 20 countries on Chainalysis’ Global Crypto Adoption Index from APAC. The area saw a 69% yearly jump in crypto value received, and transaction volumes surged from $1.4 trillion to over $2.3 trillion in 2025, fueled by growth in India, Pakistan, and Vietnam.
APAC’s edge comes from young, tech-savvy populations, progressive regulations, and wide mobile use. The region’s economic rise and digital push create perfect conditions for crypto to flourish, with Chainalysis data showing APAC ahead in both small and large crypto activities.
Compared to North America and Europe, where regulatory doubts can slow markets, APAC’s more unified digital asset approach gives it an advantage. Still, Vietnam’s specific choices in this context make it more cautious than some neighbors.
It’s arguably true that while Vietnam gains from APAC’s crypto boom, its particular rules might hold back full use of regional chances, especially as others adopt more innovation-friendly methods.
Institutional Perspectives and Market Impact
Institutional reactions to Vietnam’s rules reflect wider market realities and investment focuses. The lack of pilot applications suggests big players see the current regulatory scene as tough for business growth and entry.
Institutional interest in crypto keeps rising globally, with tokenized treasuries over $8 billion and stablecoin transfers at $15.6 trillion in Q3 2025. This momentum means big opportunities that Vietnam’s framework may be missing.
The restrictions hit as fiat-backed stablecoins and tokenized treasuries are among crypto’s fastest-growing segments, meaning Vietnam’s rules cut out the very areas with rapid institutional uptake.
Data from RWA.xyz shows tokenized treasuries climbed above $8 billion, led by BlackRock’s BUIDL fund and Franklin Templeton’s BENJI tokens, hinting that institutions seek yield, collateral, and quicker settlements via digital assets.
Anyway, institutional trends suggest Vietnam’s rules might need changes to draw the participation that supports lasting market growth. Current limits on key institutional products could curb Vietnam’s share in rising institutional crypto use.
Future Outlook and Regulatory Evolution
Vietnam’s crypto market future will hinge on how its rules adapt to market realities and global shifts. The current pilot is a first step toward regulated digital assets, but its restrictive nature might need tweaks for broader involvement.
Vietnam’s strong adoption stats—ranking fourth globally—point to high public interest in digital assets that could fuel market growth if rules ease. The country’s young, tech-smart population and high mobile use give solid grounds for crypto expansion.
The government’s wider digital efforts, like rolling out a national blockchain database in July, show Vietnam’s tech commitment. Called NDAChain, this layer-1 network with 49 nodes marks a big move in the country’s digital shift and could aid future crypto infrastructure.
Compared to early regional leaders like Singapore and South Korea, Vietnam’s regulatory path hints at similar influence if policies evolve to mix innovation with proper oversight. Its spot in the growing Asia-Pacific market offers major chances for crypto leadership.
On that note, Vietnam’s broader digital plan suggests that while current crypto rules are tight, strong tech bases and high adoption rates set it up well for future growth if regulations better match global trends and demands. As crypto regulatory expert Dr. Linh Nguyen puts it, “Vietnam’s cautious stance may protect investors initially, but adapting regulations to foster innovation will be key to long-term growth in the digital asset space.”
