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.

ConsenSys Confirms 'Vast Expansion' of Blockchain Industry

The developers at ConsenSys, a Brooklyn, New York-based organization focused on Ethereum-related development, have published a blog post in which they revealed that the nascent blockchain ecosystem “continues to see vast expansion all over the world.”

According to ConsenSys’ management, the evolving distributed ledger technology (DLT) industry needs business development and project managers, UI/UX designers, software architects, and adequate capital allocation.

Large blockchain-focused enterprises and major DLT-based infrastructural projects have now been launched as the crypto industry continues to grow, ConsenSys’ blog post noted. Crypto startups have also “grown into formidable businesses” with “growing hiring needs”, the ConsenSys team revealed.

“Need for Thousands of Non-Tech Roles”

In order to help blockchain job seekers get started, the ConsenSys team has compiled a handy “knowledge checklist”, links to useful DLT-related information, “learning hubs”, and other pertinent resources.

Per the developers at ConsenSys: 

It’s not all cryptography and distributed systems, there’s a need for thousands of non-technical roles ranging from publicists to content creators, community managers and admin positions.

However, the majority of blockchain-related jobs require skilled developers and the need for experienced software architects “continues to be the area of most demand”, ConsenSys’ report confirmed.

LinkedIn: “33x Increase” in Demand for DLT Software Architects

Notably, blockchain developers topped the global list for job roles with the highest overall growth. This, according to LinkedIn’s 2018 U.S. Emerging Jobs Report which revealed that the demand for DLT software architects “grew 33x over the previous year.”

As detailed in LinkedIn’s market research report, fintech firms and other organizations currently looking for blockchain developers “range from small remote teams to VC-funded startups to industry leaders and tech giants.”

Established multinational IT and professional services firms such as Ernst & Young, Deloitte, Oracle, IBM, and Microsoft are all expanding their respective DLT-focused development teams. Meanwhile, smaller startups including the developers of the Marconi protocol are looking to enhance blockchain network security, privacy, and connectivity.

Blockchain Devs Are Making up to $175,000 per Year

As noted in ConsenSys’ blog, “advertised blockchain developer salaries — using aggregated data from CNBC, Janco Associates, and Burning Glass — range from $125,000 — $175,000.”

Meanwhile, AngelList data shows that salaries for tech jobs in the DLT industry “outweigh equivalent roles in non-blockchain organizations, highlighting the high demand for practical blockchain knowledge already.” Moreover, non-technical roles in the blockchain sector “also outrank similar roles in non-blockchain companies,” market data shows.