The popularity of cryptocurrencies in Vietnam has been on the rise, for quite some time now, and this has prompted officials to take note of the issue, and deliberate on the type of regulation necessary to ensure a safe environment for crypto-related activities. In a country with a population of 95 million people, almost 1% currently uses cryptocurrencies. This accounts for nearly a million people, a number which is expected to rise 30 times, within the next ten years. The country’s Ministry of Justice has been studying and analyzing the global market for cryptocurrencies, in order to find the best way to regulate these digital assets.
They have also been monitoring the crypto asset related business activities and transactions of the country and has prepared a report, whose subject matter is an assessment of the current regulations that are functional in the country, presently. This report which has been sent to the nation’s government offices in Hanoi also contains an elaborate analysis of the regulation policies followed by different countries, where the crypto assets are considered legal and valid.
They have so far figured out three such regulatory policies which are being applied around the world. The primary approach is known as “floating” and refers to the implementation of a policy that is much more lenient on a relative scale. The second approach is that of “prohibiting,” which is quite self-explanatory in itself, and refers to the criminalizing if digital assets and the third approach is that of legalizing the same, but certainly under reasonable restrictions and conditions.
The director of the nation’s Department of Civil and Economic Laws, Nguyen Thanh Tu, said local authorities have carefully examined the pros and cons of regulating cryptocurrencies and that the financial regulators of the country will carefully take into account the available reports on digital assets in order to find the most suitable method to regulate this emerging asset class.