Banks and conglomerates race for licenses as Hanoi moves to control one of the world’s busiest crypto markets

Vietnam is preparing to reshape one of the world’s most active cryptocurrency markets by launching its first licensed domestic exchanges—while simultaneously moving to restrict trading on overseas platforms used by millions of local investors.

According to a government resolution reviewed by Reuters, authorities in Hanoi plan to introduce a pilot framework for locally operated digital asset exchanges as early as this month. The initiative aims to tighten oversight of crypto trading and reduce risks linked to cross-border capital flows in a country where digital assets have surged in popularity.

Five companies have passed an initial qualification round for the pilot scheme, according to a document from the Vietnam Ministry of Finance dated March 12. The applicants include affiliates of three major private banks—Techcombank, VPBank, and LPBank—along with VIX Securities and real estate and tourism developer Sun Group. Sun Group and VPBank confirmed their applications, while other firms have not publicly commented.

The policy shift comes as Vietnam ranks among the most active crypto markets globally. Data from blockchain analytics firm Chainalysis shows the country placed fourth in its Global Crypto Adoption Index last year, with transactions involving Vietnamese users exceeding $200 billion between mid-2024 and mid-2025.

Yet regulators are increasingly wary of the implications. With strict controls on cross-border capital transfers, authorities fear that cryptocurrencies and stablecoins could facilitate unmonitored outflows. Draft rules being prepared by the finance ministry would prohibit Vietnamese residents from trading on overseas crypto exchanges—a move that could significantly reshape the local market.

Currently, most Vietnamese traders rely on foreign platforms such as Binance, OKX, and Bybit. Although owning crypto is not illegal in Vietnam, digital assets are not recognized as legal tender or an official payment instrument.

Industry leaders say the development of licensed domestic exchanges could help capture value currently flowing abroad. Phan Duc Trung argues that a regulated market would retain transaction fees domestically, strengthen financial supervision, and accelerate the country’s digital finance ecosystem.

For global investors and crypto firms, Vietnam’s strategy reflects a broader trend across Asia: governments are moving away from laissez-faire crypto markets toward tightly regulated domestic ecosystems. The key question now is whether Vietnam can strike the delicate balance between controlling capital flows and maintaining the innovation and liquidity that made it one of the world’s fastest-growing crypto markets in the first place.

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Source: Vietnam Insider

Vietnam’s banking giants move fast on digital assets as Hanoi formalizes crypto rules

Vietnam’s push to bring cryptocurrencies into the regulated financial system is accelerating—and global investors are watching closely. Vietnam Prosperity Commercial Bank is the latest heavyweight lender to announce plans for a digital asset exchange, signaling that Southeast Asia’s fast-growing crypto market is entering a new, more institutional phase.

Vietnam Prosperity Commercial Bank, listed on the Ho Chi Minh Stock Exchange under the ticker VPB, confirmed it is among five financial institutions selected for Vietnam’s pilot program to establish the country’s first licensed cryptocurrency exchanges. The move follows closely after Techcombank disclosed its own application, highlighting a rapidly intensifying race among top-tier Vietnamese banks.

Speaking at an investor briefing on January 28, VPBank’s Standing Deputy CEO Luu Thi Thao said the bank has been working since late 2025 with domestic and international partners to set up a joint-stock exchange operator named CAEX. According to management, the trading platform’s technology, cybersecurity systems, and blockchain-specialized personnel are already in place, allowing operations to begin immediately once the regulatory framework is finalized.

For international readers, the significance lies in timing. Vietnam is one of the world’s most active crypto markets by retail participation, yet until now has operated largely in a legal grey zone. From January 1, 2026, the Law on Digital Technology Industry officially recognizes cryptocurrencies, making Vietnam the 46th country globally to legalize digital assets. This shift opens the door for banks—rather than offshore platforms—to dominate domestic crypto trading, custody, and structured products.

VPBank’s crypto ambitions are backed by strong financial momentum. The bank expects consolidated assets to reach roughly VND 1.26 quadrillion in 2025, up more than 36% year-on-year, while pre-tax profit is projected to rise 53% to VND 30.6 trillion. Growth has been driven by its broader ecosystem, including consumer finance arm FE Credit, insurer OPES, and securities unit VPBankS, whose IPO raised nearly VND 13 trillion in fresh capital. That balance sheet strength matters in a licensing regime that demands high charter capital, institutional shareholders, and robust system security—conditions that may limit initial approvals to only around five exchanges.

Beyond crypto, VPBank is also positioning itself for Vietnam’s forthcoming gold market liberalization as Decree 24 is amended to reduce state monopolies. The bank plans to offer not just physical gold trading but also gold-linked structured deposits, certificates, and forward contracts, underscoring a broader strategy to capture alternative assets within a regulated banking framework.

A key strategic edge for VPBank is its expanded ability to tap foreign capital. After acquiring GPBank under a special restructuring mechanism, the lender is permitted to raise foreign ownership to as much as 49%, giving it greater flexibility to partner with global technology providers and financial institutions in digital assets. That contrasts with many regional peers still constrained by tighter ownership caps.

Regulators, however, are signaling that legalization does not mean leniency. Vietnam is drafting stricter enforcement tools, including higher fines, asset confiscation, and potential criminal liability for serious violations. From mid-2026, a 0.1% personal income tax on each digital asset transaction—mirroring securities trading tax—will also come into effect, reshaping trading economics.

The bigger question for global investors is whether Vietnam can balance innovation with discipline. If successful, the country could emerge as Southeast Asia’s first major market where crypto trading is led by regulated banks rather than offshore exchanges—a model that may redefine how emerging markets integrate digital assets into mainstream finance.

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Source: Vietnam Insider

A new major contender, backed by the ecosystem of Vietnamese billionaire Nguyen Thi Phuong Thao, has officially entered the race to establish a formal digital asset exchange in Vietnam. This move immediately follows a significant fundraising plan by an affiliated securities firm, signaling an aggressive push into the newly opening regulated crypto market.

HDEX Established with Massive Capital Ambitions

On September 25, 2025, HD Digital Asset Exchange JSC (HDEX) was officially established with an initial charter capital of billion. The company is strategically headquartered in Ho Chi Minh City.

The shareholder structure of HDEX reveals its roots deep within the billionaire’s corporate network: HD Securities (HDBS), an affiliate of HDBank, holds a stake. The remaining is held by Galaxy Pay Co., Ltd. and Galaxy Technology Services JSC.

These two Galaxy entities are members of Galaxy Holdings (Galaxy Digital Holdings Co., Ltd.), the digital technology group under Sovico Group. Notably, Galaxy Holdings was initially led by Ms. Nguyen Thi Phuong Thao herself until July 4, 2025, when Mr. Huynh Kim Tuoc—a specialist with over years of experience in digital transformation and technology, and who helped lay the groundwork for Google and YouTube in Vietnam—was appointed Chairman and CEO. Mr. Tuoc also chairs the Board of Directors at HDEX.

Securities Arm Signals Trillion Capitalization Plan

The formation of HDEX comes just days after HDBS announced an ambitious plan to seek shareholder approval for raising over trillion by offering more than million shares to existing shareholders.

Crucially, the capital utilization plan earmarks approximately trillion to be invested into a digital asset exchange company—strongly indicating HDEX. This company is projected to ultimately raise its charter capital to a massive trillion ( million).

This substantial capital target is directly linked to recent regulatory developments.

Regulatory Framework Drives Institutional Entry

The timing of this investment rush is propelled by a new legal framework. Resolution 05/2025/NQ-CP, issued by the Government on September 9, 2025, permits the pilot implementation of a digital asset market in Vietnam.

This resolution sets strict requirements for operating an exchange, including: A minimum charter capital of trillion. At least of the capital must be held by a minimum of two institutions, such as banks, securities companies, fund managers, or insurance firms.

This mandate explains the necessity for HDEX’s massive capital increase plan and the strategic involvement of affiliated financial institutions like HDBS and HDBank.

The Race to Formalize Crypto Trading

The Sovico/HDBank ecosystem is not alone. Vietnam’s digital asset exchange market is attracting major financial players, signaling a nationwide effort to transition crypto trading from informal, international platforms to a regulated, domestic financial market.

Other prominent names entering the fray include CAEX, backed by VPBankS, VIXEX, backed by VIX Securities, TCEX, linked to TCBS and MB Bank’s cooperation with Korea’s Dunamu (operator of the Upbit exchange).

The participation of these major institutions is a bullish sign for the formal integration of digital assets into Vietnam’s financial system. According to Chainalysis, crypto inflows to Vietnam reached over billion between June 2024 and July 2025. VinaCapital estimates that approximately million Vietnamese own crypto assets, though most currently trade on international platforms. This institutional push aims to capture and regulate that immense volume domestically.

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Source: Vietnam Insider

The Woo X RWA Earn Vaults have been built in partnership with institutional tokenization firm OpenTrade.

Woo X is claiming bragging rights for being the first cryptocurrency exchange to offer retail customers exposure to tokenized U.S. Treasury bills.

The yield-bearing product, unveiled on Monday, called RWA Earn Vaults (as in real-world assets) has been built in partnership with London-based institutional tokenization platform OpenTrade. The product’s arrival was described as a “significant milestone” by Woo X Chief Operating Officer Willy Chuang.

“For the first time, retail users on a centralized exchange can instantly access an interest-bearing account backed by U.S. Treasury Bills,” Chuang said in an email. “This initiative bridges a crucial gap between traditional financial securities and the dynamic world of cryptocurrency, offering our users an unprecedented opportunity to engage with low-risk, high-quality financial assets in a seamless, secure, and efficient manner.”

Tokenization – especially involving bank-grade assets like U.S. Treasuries – has become popular, partly in response to interest rate increases, and now dovetailing with the current crypto bull run. Last year, crypto investment platform Finblox said it was planning to offer retail users access to tokenized T-Bills.

OpenTrade has links to Center, the now-dissolved collaboration between USDC issuer Circle, and, going further back, the Marco Polo enterprise blockchain project.

Woo X recently introduced index-linked perpetuals covering crypto meme coins and layer-2 tokens, in association with market maker Wintermute.

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Source: Vietnam Insider

Upbit’s 24-hour crypto trading volume stood at $3.79 billion at press time, down 75% from the high of $15 billion on March 5, CoinGecko data show.

Daily trading volume on South Korea’s biggest cryptocurrency exchange has tumbled 75% from this year’s high in a sign that frenzied trading in alternative cryptocurrencies (altcoins) has fizzled and digital assets other than market leaders bitcoin (BTC) and ether (ETH) may struggle to maintain lofty valuations.

Upbit, which lists 192 cryptocurrencies and offers trading in 309 pairs, registered just $3.79 billion of volume in the past 24 hours, according to data source CoinGecko. That’s down from as high as $15 billion on March 5, when TradingView data shows the total market cap of altcoins surged to a two-year high of $788 billion. Market cap has since steadied at about $750 billion.

“Crypto trading volumes started skyrocketing in early March as a wave of altcoin activity hit the market,” Matrixport said in a Telegram broadcast. “The anticipation of the Dencun upgrade with low transaction fees caused this mania, and some political developments brought crypto to the forefront of the political election. However, with volumes declining, the sustainability of the altcoin rally comes into question.”

Daily volume on Upbit rocketed from $2 billion in the two weeks to March 5 as bitcoin’s move to record highs above $70,000 and Ethereum’s Dencun upgrade spurred risk-taking in other cryptocurrencies, including meme coins. Such was the trading frenzy that, at one point, volumes on South Korea-based crypto exchanges surpassed the local stock market activity.

South Korean crypto fans appear to focus more on altcoins than bitcoin and ether, the two largest cryptocurrencies by market cap. A study by DeSpread Research in October said Upbit’s investors are primarily interested in maximizing profits through altcoins and tend to accept the high risks associated with these coins. Bitcoin and ether trading pairs account for a smaller portion of total volume on Upbit than on Nasdaq-listed Coinbase (COIN), where activity is mainly concentrated in BTC an ETH.

At the time of writing, bitcoin-Korean won and ether-won trading pairs accounted for just over 9% of the total 24-hour trading volume of $3.8 billion. The rest came from altcoin-fiat trading pairs.

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Source: Vietnam Insider