Guide to Establishing a Bitcoin Treasury Company in Vietnam

Building a Bitcoin treasury business in Vietnam involves navigating complex legal, financial, and operational landscapes. This guide outlines key steps and considerations for a U.S. entrepreneur, covering incorporation, regulations, treasury management, banking, taxation, office setup, hiring, market context, and compliance strategies. Throughout, we cite authoritative sources on Vietnam’s corporate and crypto policies to ensure accuracy.

1. Legal and Regulatory Framework

1.1 Incorporation as a Foreigner

A foreign investor can set up a 100%-foreign-owned enterprise (often a limited liability company, LLC) in Vietnam. The typical process involves:

Foreigners often need additional approvals (e.g. if in a restricted sector) and must appoint a legal representative (Vietnamese or foreigner) responsible for compliance. Vietnamese law generally requires at least one local Vietnamese employee for each foreign worker position (see below).

1.2 Vietnam’s Crypto Laws and Status

Vietnam has historically not recognized cryptocurrencies as legal tender or payment instruments. The State Bank of Vietnam (SBV) prohibits using Bitcoin and other crypto to pay for goods/services . In 2018 the SBV even barred banks from crypto transactions . However, holding and trading crypto is not explicitly illegal. A Ministry of Justice clarification in 2024 confirmed that owning cryptocurrency is not banned, paving the way for regulation in 2025 . In short: Vietnamese law treats crypto as a kind of private “asset” but with no clear legal status.

Key points on current rules:

1.3 Holding Bitcoin on the Balance Sheet

Because crypto is not yet a recognized currency or financial instrument in Vietnam, companies should treat Bitcoin on the balance sheet either as intangible assets or as inventory (if held for trading) following IFRS guidelines . No Vietnamese GAAP specifically addresses crypto; PwC Vietnam notes “legislation has yet to recognise cryptocurrencies as either an asset/property or a means of transaction” . In practice, companies record Bitcoin at cost and adjust for impairments (if treated as an indefinite-life intangible) or at lower of cost or net realizable value (if as inventory for sale) .

To legally hold Bitcoin, the company simply maintains custody (e.g. via wallet/private keys) without requiring a special license (since ownership is not illegal). However, robust internal controls are critical. We recommend storing keys offline (hardware or cold wallets), using multi-signature setups, and keeping detailed records. Institutional best practices advise multi-party computation or hardware security module (HSM) wallets with MPC keys, hot-cold key separation, and third-party insurance on custodial wallets . Regular internal and external audits should verify wallet balances against accounting records.

1.4 Reporting and Government Scrutiny

Vietnam’s regulators will scrutinize crypto activities primarily through financial regulation and AML controls. Any crypto-related business must follow general laws on anti-money laundering (AML) and CFT (Countering Finance of Terrorism). While specific crypto-reporting rules are still being finalized, exchanges in Vietnam currently follow KYC/AML norms: for example, local exchanges must collect user identity verification, monitor transactions, and report suspicious activity to authorities .

Companies should expect future obligations such as regular financial reporting to tax/financial authorities, and possibly crypto-specific disclosures when the new law’s implementing regulations are issued . For now, maintain compliance by:

2. Financial Operations

2.1 Managing a Corporate Bitcoin Treasury

A corporate Bitcoin treasury requires careful risk management. Best practices include:

In summary, adopt institutional-grade security (MPC/HSM wallets, multisig) and governance (dual signers, documented policies) to safeguard the treasury . A modern crypto treasury management platform (if available) can provide unified dashboards, transaction monitoring, and compliance checks .

2.2 Banking Options for Crypto Businesses

Vietnamese banks currently have limited engagement with crypto. The SBV’s ban on crypto payments means banks do not openly support crypto services, and in practice most banks will not provide accounts for businesses whose activities are known to be crypto-related . The 2018 central bank directive explicitly forbade commercial banks from handling crypto transactions .

Consequently, crypto businesses in Vietnam often rely on alternative solutions:

In all cases, maintain clear contracts and records. Advise local banks only of conventional business activities, and segregate crypto flows where possible. As new regulations take hold (e.g. licensed crypto exchanges), more banking services may become available, but as of 2025 traditional banking in Vietnam remains cautious toward crypto.

2.3 Tax Implications for Bitcoin Holdings

Vietnam’s tax treatment of crypto is unsettled. Historically, the General Department of Taxation issued guidance (2016) treating crypto trading as subject to VAT (10%) and corporate income tax (20%) (since crypto was viewed like movable property) . However, that guidance has not been rigorously enforced. Local courts have ruled that Bitcoin is not recognized as a taxable commodity or payment medium, voiding attempts to collect VAT/CIT on crypto gains .

Current practice (mid-2025):

Reporting: Even though Vietnam has no explicit crypto tax filings yet, we advise companies to:

Future changes: The new Digital Tech law calls for “tailored tax rules” on digital assets . Some analysts expect a 20% capital gains tax on crypto profits and a 10% VAT on exchange fees from 2026 onward, but until detailed decrees are issued, treat tax on crypto gains as potential CIT. In practice, until explicit rules appear, companies should reserve funds for potential tax liabilities and consult local tax experts.

Table – Vietnam Tax Rates (2025)

Tax TypeStandard RateNotes
Corporate Income Tax (CIT)20%Applies to net profit (including crypto gains) . Foreign tax treaties may reduce rates for foreign shareholders.
Value-Added Tax (VAT)10%On most goods/services. Crypto exchanges’ fees likely VATable; coins themselves are not legal “goods” .
Withholding Tax (on services)5–10%Standard withholding (5% local services, 10% foreign services). Potentially applies to crypto service fees (if determined).
Personal Income Tax (PIT)5–35%For individuals. Profits from crypto trading (if any) fall under PIT after thresholds.
OtherNo wealth or inheritance tax; no luxury tax currently applies to crypto.

(Sources: Vietnam tax law and guidance ; policy interpretations .)

3. Operational Setup

3.1 Office Space, Licensing, and Employment Law

3.2 Hiring Staff (Local or Remote)

Foreign-owned businesses can hire Vietnamese employees on their own payroll or use Professional Employer Organizations (PEOs) for easier compliance. Hiring locals can be advantageous for market knowledge and navigating bureaucracy. For specialized crypto expertise, there is a small but growing talent pool (blockchain developers, blockchain lawyers, etc.) primarily in HCMC and Hanoi tech hubs.

For remote work: Vietnam generally treats even remote work done by residents as subject to local labor and tax law. If you hire freelancers or part-timers (common for overseas specialists), they should register as self-employed or with an agency.

Whether local or remote, ensure all compensation and contracts meet Vietnamese legal standards. Respect cultural norms (e.g. “Tet bonus” – Lunar New Year bonus) to attract talent.

3.3 Technical Infrastructure and Security

Managing Bitcoin securely requires robust infrastructure:

Table – Key Security Measures for a Bitcoin Treasury

MeasurePurpose
Multisignature WalletsRequires multiple keys to authorize transfers, reducing fraud risk.
Cold Storage (Offline)Keeps majority of funds offline, safe from hacking.
Institutional CustodyOptional: third-party crypto custodian with insurance (e.g. BitGo).
Detailed Logging/AuditImmutable record of all transactions for verification.
Automated AlertsNotify management of large or suspicious transactions in real-time.

Combining these measures mitigates technical and operational risks (see Section 5 on risks).

4. Market Context and Strategic Considerations

4.1 Vietnam’s Stance on Crypto and Blockchain

The Vietnamese government’s view is pragmatic but cautious. On one hand, Vietnam has one of the world’s highest cryptocurrency adoption rates: Chainalysis ranks Vietnam among the top 5 globally in crypto usage for several years . The population is young and tech-savvy, driving high interest in blockchain and crypto (estimates suggest over 15–20% of Vietnamese have held crypto, with about 17 million owners ).

On the other hand, regulators worry about financial stability and illicit finance. Vietnam is working blockchain and crypto into its long-term digital economy strategy (e.g. Politburo Resolution 57/2024 calls for digital transformation by 2045). The new Digital Technology law and related regulations aim to create a formal framework for blockchain innovation with safeguards. It even offers tax incentives and subsidies for digital tech firms . In summary: the government acknowledges crypto’s popularity and potential, and is moving to regulate (not ban) it – which will favor compliant businesses.

4.2 Competitive and Cultural Landscape for Crypto Ventures

Competitive Landscape: Vietnam’s crypto market is still immature. There are few notable homegrown crypto firms besides some mining operations and over-the-counter traders. Most crypto activity is on foreign or regional platforms. However, Vietnam has a strong blockchain developer community (outsourcing software to global crypto projects) and hosts several crypto/fintech meetups. An overseas crypto company could find a niche by being early to market once regulations are clear.

Cultural Factors: Vietnamese traders are accustomed to high volatility and have embraced decentralized apps (DeFi, NFTs) via mobile. Trust in foreign technology is high, but trust in local financial products can be low (due to past scams). For a foreign business, establishing credibility is crucial. Engaging local advisors and partners can help bridge the cultural gap and demonstrate commitment.

Foreign vs Local Business: As a foreign-owned entity, you may face extra scrutiny (e.g. needing special approvals for a crypto exchange business) and sometimes higher capital requirements. But you may also enjoy advantages: international expertise, capital, and the novelty factor in Vietnamese media. The government is actively courting foreign blockchain investment, so being a reputable foreign player could receive a relatively warm welcome. Just be prepared for bureaucratic hurdles and plan longer timelines than a purely domestic startup.

4.3 Strategic Advantages and Barriers

One strategic approach: join official pilot programs. Vietnam is planning a “regulatory sandbox” for crypto trading platforms . Participating in such pilots (when announced) can help shape regulations and signal good faith to regulators. Also, partnering with local fintech/blockchain associations can provide early regulatory insights and networking.

5. Risks and Compliance

5.1 Regulatory and Legal Risks

5.2 Technical and Security Risks

5.3 Reputational Risks

5.4 Staying Compliant in a Changing Environment

By proactively addressing these risks, a company can adapt as Vietnam’s framework matures. As IFR notes, Bitcoin treasury strategies are still new in Asia; prudent risk management (treating crypto as one asset among many) is advised .

6. Example Frameworks and Case Studies

No prominent Vietnamese company is publicly known for a Bitcoin treasury strategy (as the practice is new to the region). However, broader Asian examples illustrate the model:

In summary, while Vietnam lacks a homegrown Bitcoin-treasury company to date, the regional trend and technical guidelines above can serve as a template. If Vietnam’s regulations continue liberalizing, more local ventures may emerge and benefit from this early strategic planning.

Sources: Authoritative legal, financial, and business publications (Vietnam Briefing, Vietnam Investment Review, leading crypto media, and legal firm analyses) were used to compile this guide , ensuring up-to-date and reliable information on Vietnam’s corporate and crypto environment.