tl;dr
Vietnam's cautious approach to crypto regulation restricts its pilot program to just five licensed exchanges, sparking debates over innovation vs. risk management while the country remains a top global crypto adopter.
**Vietnam’s Crypto Pilot Program Faces Challenges as Regulatory Hurdles Loom**
Vietnam, a global leader in cryptocurrency adoption, is taking a cautious approach to its emerging digital asset market by restricting its crypto exchange pilot program to just five licensed operators. This move, announced by Deputy Finance Minister Nguyen Duc Chi, underscores the country’s balancing act between fostering innovation and mitigating risks, even as it ranks among the top three nations for crypto adoption.
The pilot program, authorized by a government resolution last month, aims to establish a regulated framework for digital asset trading. Under the plan, the Ministry of Finance will coordinate with agencies like the State Bank of Vietnam and the Ministry of Public Security to finalize licensing procedures. However, the ministry has yet to receive formal applications from businesses, though several companies are reportedly preparing technical systems and engaging in preliminary discussions with officials.
**A Tight Caps on Access**
The decision to cap the pilot at five exchanges has sparked debate. Deputy Finance Minister Chi emphasized the need for comprehensive regulations on taxation, compliance, and operational standards, aiming to license at least one enterprise by 2026. However, industry experts argue that the 5-license limit could stifle competition and innovation.
Vitaliy Shtyrkin, CPO at B2BINPAY, criticized the approach, stating, “The entry bar is so high that most potential applicants can’t clear it.” He likened the initiative to a “closed compound,” favoring large financial institutions over fintech startups. “Vietnam must lower barriers and be more open to attract crypto liquidity onshore,” he added, warning that without such changes, innovation and capital will remain offshore.
Lionel Iruk, senior advisor to Nav Markets, noted that the lack of early applicants reflects regulatory uncertainty rather than a lack of interest. “Capping the pilot at five enterprises is understandable as a risk-management measure, but it may limit competition and slow knowledge transfer,” he said.
**A Global Crypto Adoption Leader**
Despite these challenges, Vietnam’s crypto ecosystem remains robust. According to Chainalysis’s 2025 Global Adoption Index, the country ranks among the top three globally for crypto adoption, with Asia-Pacific transaction volumes surging from $1.4 trillion to $2.36 trillion. The Digital Technology Industry Law, passed by Vietnam’s National Assembly in June and set to take effect in January 2024, positions the nation as a pioneer in comprehensive digital asset regulation.
However, the law’s implementation remains in its early stages. While the pilot program is a step toward structured oversight, the stringent requirements and limited license availability may test the resilience of Vietnam’s crypto community.
**The Path Forward**
As the Ministry of Finance works to finalize rules, the success of the pilot will depend on striking a balance between safeguarding investors and nurturing innovation. For now, the 5-license cap and regulatory complexities highlight the challenges of turning Vietnam’s crypto momentum into a sustainable, inclusive market.
With global interest in digital assets growing, Vietnam’s approach will serve as a case study in how emerging economies navigate the dual imperatives of regulation and innovation. The coming months will reveal whether the country’s cautious strategy can pave the way for a thriving, onshore crypto ecosystem—or if it risks missing out on the next wave of digital finance.