Vietnam's crypto regulation officially kicks off: $380 million threshold can't stop the influx of 10 institutions

Vietnam has begun implementing a formal licensing system for crypto asset trading platforms this year, marking the Southeast Asian country’s official departure from a long-standing legal gray area in its major crypto market. According to the latest resolution from the Vietnamese Ministry of Finance, the State Securities Commission will be responsible for issuing and managing platform licenses. About 10 traditional financial institutions have expressed plans to enter, including SSI Securities, VIX Securities, MBBank, Techcombank, and VPBank. This not only represents a regulatory breakthrough for Vietnam but also signals a move toward normalization of the crypto market in Southeast Asia and globally.

Core Requirements of the Regulatory Framework

Vietnam’s new licensing system is not “open-ended” but sets quite high entry thresholds. According to the resolution, applicant companies must meet the following conditions:

This $3.8 billion capital requirement essentially filters participants. For small exchanges, this is nearly an insurmountable barrier. However, for established traditional financial institutions with sufficient capital, this requirement becomes a “passport” into the crypto market—because it provides legal certainty.

Positive Response from Traditional Financial Institutions

Following the release of the resolution, local financial institutions responded quite quickly. Recent reports indicate that about 10 securities firms and banks plan to enter the market after obtaining licenses. Notably:

• SSI Securities and VIX Securities have set up subsidiaries to prepare
• Major banks like MBBank, Techcombank, and VPBank are collaborating with technology partners
• International stablecoin project Tether is providing consulting to officials and actively exploring local partnerships

This phenomenon reflects a key signal: traditional financial institutions are no longer avoiding the crypto market but are actively seeking entry. Vietnam’s licensing system effectively opens a door, allowing these institutions to participate legally in crypto asset trading.

Why Vietnam?

Vietnam’s position in the global crypto market is often underestimated. Recent data shows that Vietnam’s crypto trading volume has hit record highs, ranking among the top three in the Asia-Pacific region. This achievement is no coincidence—Vietnam has a young population, relatively low banking penetration, and a high acceptance of digital assets.

Against this backdrop, the introduction of a formal licensing system makes even more sense. It is not only about regulating the market but also about acknowledging reality—crypto assets have become a part of everyday financial life in Vietnam and need to be incorporated into the regulatory framework.

Demonstration Effect on the Southeast Asian Market

Vietnam’s move is likely to serve as a reference for other Southeast Asian countries. Currently, the region’s regulatory attitudes toward crypto assets vary widely, from outright bans to full openness, with many gray areas in between. Vietnam’s approach—neither banning nor fully opening but establishing a clear licensing system—provides a “middle ground” example.

The value of this model lies in balancing three interests:

• For regulators: gaining control over the market
• For institutions: providing legal certainty and access opportunities
• For users: ensuring market legitimacy and safety

If this model operates smoothly in Vietnam, neighboring countries like Thailand, the Philippines, and Indonesia may adopt similar approaches.

Key Observations

From a regulatory perspective, Vietnam’s licensing system reflects a pragmatic attitude. It does not attempt to completely ban or fully open the market but recognizes the reality of crypto assets and manages risks through licensing. This approach is attractive to traditional financial institutions because licensing confers legitimacy.

However, the effectiveness of this system remains to be seen. Critical issues include: the speed of license issuance, whether “license without approval” scenarios will occur, and whether institutions will truly provide better services to ordinary users after entering.

Summary

Vietnam’s official licensing system for crypto asset trading platforms has been launched, marking the country’s formal entry into a regulated era for its major crypto market. The $3.8 billion capital requirement is high but has not dampened the enthusiasm of traditional financial institutions—about 10 organizations have expressed plans to enter. This step is both an acknowledgment of reality and a move toward market regulation, and it could serve as a reference for other Southeast Asian nations. For the global crypto market, this indicates that more regions are transitioning from “gray areas” to “formal frameworks.” While this long-term trend is positive, short-term market reactions will need ongoing observation.