Vietnam Welcomes Tether to Explore Crypto Collaborations

Vietnam is actively exploring ways to foster its cryptocurrency market, signaling a willingness to collaborate with industry giants like Tether.

Stablecoin leader Tether is looking to partner with local businesses in Vietnam, aiming to boost cryptocurrency acceptance. According to Marco Dal Lago, Vice President for Global Expansion and Strategic Partnerships at Tether Group, Vietnam is a priority for Tether, calling it "one of Tether’s most promising and strategic markets.”

In a meeting with Deputy Prime Minister Ho Duc Phoc, Dal Lago emphasized Vietnam's advantageous characteristics, including its young population, thriving economy, and strong remittance inflows. Tether is offering their expertise to help Vietnam establish a legal framework for digital asset transactions, with the goal of attracting foreign investment and promoting economic growth.

Vietnam's Crypto Plans

Vietnam is taking a measured approach to the crypto sector. The Deputy PM has indicated the country is working to build a professional market for crypto investors and attract outside funding. Vietnam has started a 5-year pilot program for crypto trading, but only Vietnamese companies can issue tokens and sell them only to international investors.

The plan is for a comprehensive legal framework to be created to govern the market, but only after the pilot phase has proven stability. Officials are reviewing applications from crypto companies and intend to license roughly five crypto trading platforms that demonstrate financial strength. Exchanges need at least 10 trillion dong (about $379 million) in capital.

Learning from Others

Vietnam recognizes the inherent risks associated with cryptocurrency. The government is looking to learn from the experiences of other countries that have already navigated the regulatory landscape.

Vietnam intends to grow its cooperation with crypto technology companies to create a secure and efficient trading market. The goal is to build a "playground" for investors while drawing in financial resources to help the country's economy.

Tether is prepared to assist Vietnam in developing a regulatory environment that is transparent and clear.

The discussions between Tether and Vietnamese officials included topics like system security, policy creation for crypto asset trading, cooperation strategies, and best practices for managing capital through crypto exchanges.

Key Takeaways:

• Vietnam is serious about exploring the potential of cryptocurrency and is open to collaboration with leading companies like Tether.
• The country is proceeding cautiously, prioritizing the establishment of a robust legal framework and ensuring investor protection.
• Vietnam sees cryptocurrency as a way to attract foreign investment and promote economic growth.