Vietnam's Ministry of Justice Suggests Several Ways To Regulate Cryptoassets

  • Vietnam's MInistry of Justice has sent a report on cryptoassets to the nation's government offices in Hanoi (the capital).
  • The report contains an analysis of different digital currency regulatory policies - which have been adopted by authorities throughout the world.

Vietnam’s Ministry of Justice has reportedly been monitoring the country’s cryptoasset-related business activity, and has also prepared a report which contains an assessment of Vietnam’s current cryptocurrency regulations.

Surveying Local And International Crypto Markets

The report’s authors noted that they explored three different regulatory policies - which included making cryptoasset transactions legal based on certain conditions, completely “prohibiting” cryptocurrency-related activity, and using a “floating” or loosely defined regulatory framework for digital assets.

According to Vietnam’s Ministry of Justice, its officials have surveyed the local and global digital currency market. Nguyen Thanh Tu, the director of the nation’s Department of Civil and Economic Laws, said local authorities have carefully examined the pros and cons of regulating cryptocurrencies.

Tu also noted that Vietnam’s financial regulators will carefully review the current report on digital assets, and use its findings to help them conduct more research on how to properly regulate the emerging asset class.

Balanced Approach To Regulating Digital Currencies

Government officials in the nation’s capital city, Hanoi, will decide which type of cryptoasset regulatory approach they want to adopt - based on the report submitted by the Vietnamese Ministry of Justice.

Vietnam’s federal government will also instruct the country’s relevant departments and ministries to begin drafting a regulatory framework for cryptocurrencies. Commenting on how he thinks digital assets should be regulated, Tu said authorities need to carefully consider the risks and potential of blockchain-based currencies.

Expressing views similar to government officials in other countries, Tu believes regulators must ensure consumers are protected from the fraudulent activities associated with digital currencies. He added that the Vietnam’s government must ensure that local investors are able to benefit from the technological innovation and legitimate investment opportunities in the nascent crypto industry.

Cryptocurrencies Are Not Legal Tender

Notably, Vietnam’s central bank has said that it does not consider cryptocurrencies to be legal tender. In July, the bank had issued a warning which stated that virtual currencies must not be used to make payments and that it would not offer banking services to crypto traders.

Vietnam’s securities regulator has also instructed local companies and other organization to refrain from dealing in digital currencies. Moreover, Nguyen Xuan Phuc, the nation’s prime minister, had ordered relevant agencies in July to work on formulating a legal framework for cryptoassets.

As CryptoGlobe reported in late June, Vietnam's Ministry of Finance had called for a ban on all imports of bitcoin (BTC) mining equipment. At the time, the country’s regulators had said that the use of cryptocurrencies must be prohibited as they’re often used to finance illicit activities.

Blockchain Wallet Integrates BitPay Support for User-Friendly Transactions

  • Blockchain Wallet announces the integration of BitPay into their existing service. 
  • Emphasis on allowing for "user-friendly" transactions and payments. 

Popular cryptocurrency firm Blockchain.com, which operates the Blockchjain wallet, has announced integration of payment processor BitPay

Blockchain Wallet Adds BitPay Support

In an update, Blockchain Wallet confirmed its new partnership with BitPay, which will allow for the direct spending of user bitcoin in an effort to increase the ease of crypto-based payments.

The press release states that BitPay has been “seamlessly” integrated into the existing Blockchain Wallet framework, which clients can use to make payments directly from their application. 

According to the announcement,

As the largest global crypto payments provider, BitPay and has processed more than $2.8 billion from merchants and B2B customers since 2011.

The press release continues, 

We’re excited to see this new addition connect our Wallet users to the world of merchants that accept Bitcoin (and soon other cryptos) as a payment method — one of the key ways to interact with and grow the digital asset ecosystem.

The emphasis on payments shows the direction that Blockchain Wallet imagines for the future of crypto. While the platform has created a secure cryptocurrency wallet for users to retain simultaneous control over their funds and private keys, user-friendly transactions and spending has continued to be a work in progress. 

BitPay has emerged as one of the more successful payment platforms in crypto, with a focus on establishing a relationship with merchants to accept bitcoin. The partnership with Blockchain Wallet, with its reported 41 million userbase, could go a long way in spurring greater use for bitcoin outside of a store of value asset or token for price speculation.