The State Bank of Vietnam is set to begin implementing experiments on cryptocurrency between 2021 and 2023, according to the source .
Experiments around cryptocurrency are part of Prime Minister Pham Minh Chinh’s policy of making the government more digital.
In addition to crypto and blockchain technology, the prime minister wants to explore use cases for artificial intelligence (AI), big data, augmented reality, and virtual reality.
Crypto market experiences in Vietnam:
According to the aforementioned source, the pilot study is designed to help the government gain a better understanding of the cryptocurrency industry.
The Deputy Director of the Innovation Institute at the University of Economics in Ho Chi Minh City, commenting on the Central Bank’s announcement, said:
While cashless payments are on the rise in Vietnam, the central bank’s recognition of digital currencies should help accelerate the move to a more digital economy.
The central bank’s move is motivated by Vietnam’s desire to remain competitive at the global level.
According to Lu Datchi, vice president of the Faculty of Finance of Ho Chi Minh University, the majority of the world’s central banks are either already experimenting with digital currency schemes, or starting to develop their own pilot schemes.
Changing the perception of cryptocurrency in Vietnam:
The announcement of crypto experiments in Vietnam could indicate an improvement in the outlook towards the cryptocurrency industry.
Traditionally, cryptocurrencies were not welcomed in Vietnam.
The central bank previously asked credit institutions not to use cryptocurrency as a form of payment, and has not yet granted a license to any crypto trading platform to operate within Vietnam.
The State Securities Commission (SSC), the securities regulator in Vietnam, stated in 2018 that the cryptocurrency industry brings with it money laundering risks.
But with the prime minister’s request to experiment with cryptocurrencies, the government’s sentiment appears to be shifting towards the crypto market.