Vietnam Is Accelerating Its Fintech Landscape.
Vietnam’s financial technology sector is undergoing rapid and significant acceleration. These recent developments are not incremental adjustments; rather, they represent a focused effort to establish a robust, practical and sophisticated legal framework. One that invites innovation while also ensuring the stability and security of the digital economy. For foreign and domestic entities alike, becoming familiar with these regulatory changes is crucial to effective strategic planning and compliance.
Key Regulatory Developments:
Three key recent legislative developments stand out as foundational to Vietnam’s fintech trajectory:
- Decree No. 94/2025/ND-CP: The Fintech Regulatory Sandbox
Effective July 1, 2025, Decree No. 94/2025/ND-CP on the Regulatory Sandbox in the Banking Sector (“Fintech Sandbox”) introduces a controlled environment for piloting innovative fintech solutions. This decree specifically targets critical areas: credit scoring, Open API data sharing, and peer-to-peer (P2P) lending.
The establishment of this sandbox mechanism is a long-awaited, pragmatic response to the rapid pace of technological advancement, allowing for the real-time assessment of risks and benefits associated with novel fintech solutions. The maximum two-year testing period, with potential for extension, provides a window for participants to validate their models under relaxed regulatory conditions. For businesses, this translates into an opportunity to test innovative products and services without immediately incurring the full burden of existing regulations, provided they operate within defined parameters and obtain the requisite Certificate of Sandbox Participation. This proactive approach highlights Vietnam’s commitment to foster innovation while maintaining oversight of financial stability and consumer protection.
- Law No. 71/2025/QH15: The Digital Technology Industry Law
Taking effect on January 1, 2026, Law No. 71/2025/QH15 on Digital Technology Industry marks a significant legislative milestone. This law formally recognizes virtual assets and cryptocurrencies, a bold if somewhat overdue, move that has the potential to position Vietnam as a leader in digital asset regulation.
The law provides a framework for classifying virtual assets and includes a broader sandbox mechanism applicable to digital technology products and services. For entities engaged in digital asset operations, this legislation offers much-needed clarity and legitimacy, hence, reduction of regulatory uncertainty. The law includes incentives for research and development and aims to attract high-quality human resources in digital technology. This comprehensive approach speaks to a much-repeated long-term vision to cultivate a thriving digital economy, emphasizing both regulatory clarity and strategic growth of the sector.
- Resolution No. 222/2025/QH15: International Financial Centers
Complementing these regulatory advancements, Resolution No. 222/2025/QH15 on International Financial Centers (“IFC Resolution”), effective September 1, 2025, articulates Vietnam’s ambition to elevate its standing in the global financial landscape. By designating Ho Chi Minh City and Da Nang as future international financial centers, the government seeks to create specialized hubs offering distinct advantages. These include, at least, liberalization of foreign exchange controls, tailored licensing for banking entities (including the ability to establish single-member limited liability banks or branches), and the development of capital markets specifically for startups, including mechanisms like crowdfunding or private placement. Critically, the IFC Resolution also integrates a regulatory sandbox for fintech within these designated centers and provides attractive tax incentives, such as a 10% corporate tax rate for up to 30 years for eligible entities and corporate/personal income tax exemptions/reductions for qualified professionals, and immigration policies designed to attract qualified foreign talent. This approach acknowledges that a robust fintech ecosystem will require not only clear regulations but also world-class infrastructure and a skilled workforce.
Market Dynamics and Strategic Collaborations: Beyond Legislation
Beyond legislative developments, recent market activities and strategic partnerships further catalyze the evolving fintech landscape in Vietnam:
- GM Vietnam – Vietnam Blockchain Week 2025: Held on August 1-2, 2025, in Hanoi, this event was Southeast Asia’s largest blockchain gathering. It highlighted Vietnam’s place in the market, underscored its prominence in the digital asset space, and served as a crucial platform for industry collaboration and investment.
- Pilot Digital Asset Market Decree: The Prime Minister’s directive for a draft decree on a pilot digital asset market by mid-July 2025 was issued, signifying an ongoing commitment to refining the regulatory framework for digital assets. The draft decree for the pilot digital asset market was submitted in March 2025 and remains under review, showing ongoing regulatory refinement. This iterative approach aims to ensure regulations are adaptable to rapid technological advancements.
- Digital Payment Adoption: Vietnam’s prepaid card and digital wallet market is anticipated to reach US$7.19 billion by year-end of 2025 with a 26.6% annual increase. This trend is reinforced by official recognition of e-wallets as a valid form of payment as of July 1, streamlining digital transactions and promoting financial inclusion.
- Cybersecurity and Digital Infrastructure: The Ministry of Public Security’s recent takeover of the State’s stake in FPT Telecom highlights a national imperative to bolster cybersecurity and digital infrastructure. At the same time, the partnership between FPT, a leading Vietnamese IT services provider, and audax Financial Technology, a digital banking solutions provider, demonstrates a strategic effort to enhance digital banking capabilities across APAC and the Middle East. Such collaborations are vital for cultivating a resilient and interconnected fintech ecosystem.
- WFIS 2025 (World Financial Innovation Series): This event was held in Hanoi on April 15-16, 2025, convening technology and business leaders from prominent banks and insurance companies, fostering continued dialogue and collaboration within the financial sector. WFIS 2026 is scheduled for May 19-20 in Hanoi, and is expected to attract over 500 technology and business heads from leading banks, insurance firms, digital lenders, and microfinance institutions.
A Future Defined by Innovation and Sensible Regulation
Vietnam’s fintech sector is undergoing a period of profound transformation, driven by a combination of forward-thinking legislation, burgeoning market demand, and strategic industry collaborations. The recent enactment of the Fintech Sandbox Decree, the Digital Technology Industry Law, and the IFC Resolution provides a robust legal foundation for both innovation and investment. These regulatory advancements, coupled with the increasing adoption of digital payments and key strategic partnerships, collectively paint a compelling picture of a nation strategically positioning itself as a leader in digital finance in Southeast Asia.
For businesses operating or considering entry into this market, a thorough understanding of regulatory nuances and market dynamics is essential for success.
