The Vietnam Blockchain Association (VBA) has revealed an ambitious plan to advance blockchain technology adoption and attract international investment. This strategy, known as the “Global to Local” initiative, aims to integrate global blockchain advancements into Vietnam’s economy while encouraging local innovation. Additionally, the VBA introduced a sandbox model that allows businesses to test blockchain technologies in a controlled environment before widespread implementation.

Booming Crypto Market in Vietnam

Vietnam’s crypto market is experiencing rapid growth, with over 20 million citizens actively holding cryptocurrencies, making it the fifth-largest nation in terms of crypto asset adoption. In the past year, approximately $120 billion in crypto capital flowed into the country, representing more than 25% of the nation’s GDP.

Prime Minister’s Vision for Blockchain Development

Building on this momentum, Vietnam’s Prime Minister has issued a National Strategy on Blockchain Development to position the country as a regional leader in blockchain technology. The VBA is actively supporting this strategy by fostering international collaborations and proposing regulatory sandboxes for testing new technologies.

A crucial aspect of the strategy involves digitizing real-world assets to facilitate secure and transparent international transactions, attracting international tourists and investors by incorporating stablecoins and cryptocurrencies into local payment systems.

Focus on Regulatory Compliance and Financial Security

The VBA emphasizes the importance of blockchain solutions adhering to international legal frameworks to ensure sustainable development. Compliance with legal and regulatory measures is vital to mitigate risks and build trust as global interest in digital assets grows.

The VBA’s ChainTracer initiative has been successful in enhancing financial security and combating fraud, recovering over $2 million from digital fraud cases and producing more than 50 reports to support investigative agencies.

International Collaboration and Sandbox Models

Vietnam’s sandbox proposal draws inspiration from successful international models, such as the Financial Conduct Authority in the UK, enabling companies to participate in regulatory trials and secure investments across fintech and emerging technologies.

Strengthening International Cooperation

The VBA has signed a Memorandum of Understanding with WOW Summit Hong Kong to enhance knowledge sharing and collaborative efforts in the global blockchain community.

The upcoming WOW Summit 2024, set to host over 7,000 attendees from 30 countries, will provide a platform for Vietnamese businesses to engage in discussions on Web3, AI, fintech, and blockchain, fostering networking and partnerships in the global technology landscape.

Elevating Vietnam’s Blockchain Ecosystem

The establishment of the Vietnam Blockchain Association signifies Vietnam’s advancement towards becoming a blockchain hub. By supporting local enterprises and facilitating their involvement in international projects, the association aims to drive investment, innovation, and blockchain adoption across various sectors, positioning Vietnam as a key player in the digital economy.