You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

July 27, 2026

Vietnam’s New Crypto Sanctions to Impact Offshore Exchanges

Subscribe to Updates

A new decree on penalties for violations related to the crypto asset market creates compliance risks for offshore crypto asset exchanges in Vietnam that do not hold, and practically cannot obtain, a Vietnamese license, and for Vietnamese users who continue to transact on those platforms.

Decree No. 284/2026/ND-CP (Decree 284), issued by the government of Vietnam on July 16, 2026, formally establishes an administrative penalty framework for violations related to crypto assets and the crypto asset market. The decree takes effect on September 1, 2026, and will remain in force for the duration of the five-year pilot program under Resolution No. 05/2025/NQ-CP, which is scheduled to end in September 2030.

Direct Penalties on Vietnamese Users

The most immediate commercial risk to offshore platforms is that their Vietnamese users now face direct personal liability for using their exchanges. Vietnamese users who trade crypto assets outside of a Ministry of Finance-licensed service provider face fines of up to VND 50 million (approximately USD 1,900). Vietnamese users trading in crypto assets that are offered or issued to foreign users face higher penalties of up to VND 100 million (approximately USD 3,800).

It is expected that Vietnamese users will be more willing to migrate away from offshore platforms now that there is a risk of real enforcement against them.

Penalties on Unlicensed Service Providers

Violations of providing crypto asset services or advertising crypto-related services without a license face fines of up to VND 200 million (approximately USD 7,700). Operating a crypto asset trading market without proper authorization falls within the same highest penalty bands.

Organizations that violate issuance, provision, or disclosure rules may face fines of up to VND 200 million.

Although the maximum administrative fine per violation is capped at VND 200 million for organizations and VND 100 million for individuals, these are per-violation caps, and repeated violations are treated as aggravating circumstances, allowing authorities to escalate penalties within statutory ranges.

Supplementary Sanctions and Remedial Measures

Beyond monetary fines, Decree 284 empowers authorities to impose a range of supplementary and corrective measures that can cause significantly more operational harm to an offshore exchange than the headline fines alone. These include:

  • Temporary suspension of activities for defined periods (more applicable to unlicensed local exchanges)
  • Disgorgement of unlawful gains derived from noncompliant activities
  • Confiscation of assets used in or connected to violations
  • Orders to remove, suspend, or rectify noncompliant platforms, systems, or information
  • Mandatory corrective disclosures
  • Orders requiring the return of investor funds

With the maximum per-violation administrative fine for organizations set at approximately USD 7,700, the fines themselves could be viewed as modest by global standards. However, there is a greater potential for risk due to user attrition, platform blocking, banking channel closure (as Vietnamese banks gain explicit grounds to refuse transactions), disgorgement of profits from serving Vietnamese users without authorization, and criminal referral for AML violations and unlicensed operations. Additionally, an enforcement action by Vietnamese authorities may attract scrutiny from regulators in the exchange’s home jurisdiction or other markets where it operates.

Outlook

Decree 284 takes effect on September 1, 2026. All Vietnamese users must migrate their trading activities to licensed local exchanges within six months after the first local exchange is licensed or face penalties. Offshore exchanges should get ahead of this and plan accordingly.

Related Professionals

Industries

Fintech

Technology

Practices

Banking and Finance

Location

RELATED INSIGHTS​ 

May 14, 2025
Following the amendment to the Emergency Decree on Measures for the Prevention and Suppression of Technological Crimes in mid-April 2025, new measures were introduced by the Electronic Transactions Development Agency (ETDA) in a hearing session held on May 13, 2025, to establish shared liability between online social media platform operators and other in-scope operators for damages arising from technological crimes. Stakeholders are being invited to submit their comments on the proposed new provisions directly to the ETDA by May 20, 2025. The concept of the new measures for social media platform operators is that to be released from liability for damages arising from technological crimes, social media platform operators must demonstrate compliance with the relevant technological crime prevention standards and measures prescribed by their respective regulators (“safe harbor rules”). Safe Harbor Rules Under the principles of the proposed safe harbor rules, social media platform operators and the relevant service providers would be required to comply with the following obligations: Immediate takedown and suspension of dissemination: Disable access, remove the content from the system, or suspend the relevant service within 24 hours of receiving an official notification from the Cyber Crime Investigation Bureau’s Anti-Online Scam Operation Center (AOC) that a service or social media platform is disseminating content that is or may be used to commit or support technological crimes. Establishment of notification channels: Establish a system or channel to receive notifications from the AOC. User registration and identity verification: Require user registration (including identity verification and authentication) before allowing content to be posted, with sufficient information to identify the user. Suspending dissemination of suspect advertisements: Disable access to advertisements reasonably suspected of involving or potentially involving the commission of technology-related crimes. Reporting: Report on actions taken, including details like account owner information, IP address, email, or phone number used for account
Read More
May 5, 2025
On April 29, 2025, the government of Vietnam promulgated Decree No. 94/2025/ND-CP with regulations on a controlled “sandbox” for innovative fintech solutions in the banking sector (Decree 94). The decree aims to promote innovation, modernize banking, and enhance financial inclusion while assessing risks and benefits of fintech solutions in a controlled testing environment. Fintech Sandbox Currently, the fintech sandbox focuses on three specific areas: Credit scoring Open API data sharing Peer-to-peer (P2P) lending Eligible participants for the fintech sandbox include: Credit institutions and foreign bank branches (except for P2P lending) Fintech companies operating in Vietnam Cross-border supply by foreign providers is not included in the sandbox framework. Eligible participants are permitted to provide fintech solutions only within the scope specified in the Certificate of Sandbox Participation issued by the State Bank of Vietnam in consultation with other ministries. P2P lending companies face specific restrictions within the fintech sandbox, including prohibitions against: Providing security for customer loans Operating as a customer (i.e., P2P lender or borrower) Providing P2P lending solutions to pawn shops The maximum sandbox period is two years, with the possibility of extension as permitted by law. The outcomes of the fintech sandbox will serve as a practical basis for authorities to develop and refine future fintech regulations. It is worth noting that participation in the sandbox does not guarantee that participants will meet relevant business and investment conditions that may be stipulated in future regulations. Decree 94 will take effect on July 1, 2025, signaling that the Vietnamese government intends to take a proactive approach to fostering fintech development. Implications Parties interested in participating in the fintech sandbox should begin preparing now to be ready to apply for a Certificate of Sandbox Participation when the decree takes effect.
Read More
May 2, 2025
Attorneys from Tilleke & Gibbins have updated the latest edition of Doing Business in Thailand, a Q&A-style guide from Thomson Reuters Practical Law that offers an overview of key legal considerations for companies operating in jurisdictions worldwide. The contribution outlines the country’s legal and regulatory framework for foreign investment and business operations and reflects the latest legislative developments. The chapter addresses the following core topics: Legal system: Structure of the courts and the codified nature of Thai law. Foreign investment: Business restrictions under the Foreign Business Act, sector-specific regulations, exchange control rules, and investment incentives. Business vehicles: Overview of partnerships, private and public limited companies, and other legal entities. Employment: Labor protections, employment contracts, foreign worker requirements, and termination procedures. Tax: Corporate and personal income tax, indirect taxes, and tax obligations for residents and non-residents. Intellectual property: Registration and enforcement of patents, trademarks, designs, and copyrights. Data protection: Key provisions of the Personal Data Protection Act and related compliance obligations. Competition law: Regulatory framework under the Trade Competition Act. Anti-bribery and corruption: Relevant legislation and enforcement mechanisms. E-commerce and digital business: Legal regime for online transactions and digital platforms. Marketing and advertising: Consumer protection laws and regulations affecting advertising and marketing practices. Product regulation and liability: Safety standards, liability regimes, and roles of enforcement authorities. Practical Law, a legal reference resource from Thomson Reuters, publishes a range of guides for hundreds of jurisdictions and practice areas. The insurance and reinsurance guide is a valuable resource for legal practitioners, covering numerous jurisdictions worldwide. To view the latest version of the guide, please visit the Practical Law website and enroll in the free Practical Law trial to gain full access.
Read More
April 30, 2025
With a favorable crypto climate from the Trump administration in the United States, Thailand is ready for digital asset platforms and has market appetite. This article highlights the country’s regulatory initiatives supporting the growth of digital assets like crypto, stablecoins, and smart contracts, along with efforts to establish clear oversight. Bank of Thailand Sandbox Stablecoins used as a medium of payment, particularly those pegged to the Thai baht (THB) for public use, are considered as mirroring fiat currency, which violates the Currency Act B.E. 2501 (1958). These can also be classified as e-money under the Payment Systems Act B.E. 2560 (2017). The Bank of Thailand (BOT) urges issuers to engage in preconsultation prior to implementation, due to concerns about stablecoins being used in place of THB currency. Other FX- or asset-backed stablecoins are not recognized as legal tender under Thai law, and users must bear their own risks. The BOT recognizes the potential and benefits of these technologies in reducing operational costs for financial service providers and addressing the needs of financial service users. Consequently, the BOT issued a sandbox framework in June 2024. In particular, the enhanced regulatory sandbox allows nonlicensed entities to test financial innovations in controlled conditions. These tests must have a clearly defined duration (usually under one year) and involve a limited user group with an exit strategy. Several programmable payment projects—automated transactions with predefined conditions for the payment of goods and services—were piloted under this sandbox, which closed for applications in September 2024. Eight participants are planning to launch their test runs this year, some of which include asset tokenization or exchange global stablecoins in their programmable payment projects. Thai Securities and Exchange Commission Sandbox Given that digital asset businesses fall under the Royal Decree on Digital Asset Businesses B.E. 2561 (2018), supervised by
Read More