Prime Minister Nguyen Xuan Phuc this week approved the plan to scrutinise and streamline the legal framework for the management of cryptocurrencies such as Bitcoin in Vietnam by 2018.
The PM has asked the Ministry of Justice to preside and co-ordinate with other relevant ministries and institutions, including the State Bank of Việt Nam, Ministry of Information and Communications, Ministry of Public Security, Ministry of Industry and Trade and Ministry of Finance, to scrutinise the current legal framework, provide a comprehensive assessment and propose suitable solutions and revisions in the framework to the Government.
Thus, the Vietnamese government hoped to protect consumers by strengthening laws and regulations, furthering prohibition, and actively cautioning the public about the risks involved in dealing with digital money. However, digital currencies have been thriving in Vietnam: there has been a significant increase in investment and business transactions in the northern border provinces, central provinces, and the central highlands.
Now, according to vietnamnews.vn, by June 2019, the ministries must “finalize an application asking for the compilation of a legal framework on taxes for cryptocurrencies.” On top of that, the ministries must submit proposals for the prevention and resolution of related violations by September 2019.
If approved, the move would signal that leaders in Vietnam are moving away from the more cautious viewpoint expressed in 2014, when central bank officials warned consumers about the risk of cryptocurrencies.