The Real Purpose of the 10 Trillion VND Capital Requirement for Vietnamese Crypto Exchanges
Vietnam requires crypto asset exchanges to hold a registered capital of 10 trillion VND to serve as a compensation reserve for investors in the event of security breaches.
According to a report by BNews on November 6, 2026, To Tran Hoa, Standing Deputy Director of the Crypto Asset Trading Market Management Committee under the State Securities Commission of Vietnam, stated that the $400 million threshold provides a safeguard for compensating users if a platform suffers a hacker attack.（Vietnam crypto exchange）
The Real Purpose of the 10 Trillion VND (~$400 Million) Capitalization:
- To Tran Hoa, Standing Deputy Director of the Crypto Asset Trading Market Management Committee under the State Securities Commission of Vietnam, clearly pointed out that the main purpose of requiring crypto exchanges to hold 10,000 billion VND (approximately $400 million) in registered capital is not just a market entry barrier, but to establish an insurance pool/reserve fund to compensate users in the event of platform security breaches or hacker attacks.
- Although international partners have questioned this standard for being far higher than Europe’s $1 million licensing requirement, domestic regulators have prioritized “solvency under attack conditions.”
Supporting Operational and Security Requirements:
- Financial Liability: If an attack is caused by a vulnerability in the platform itself, the exchange operator must assume full financial responsibility.
- Fund Segregation: Strict segregation of client funds from the company’s own capital must be enforced.
- Compliance Inspections: Exchanges must prepare for upcoming cross-institutional compliance audits. Furthermore, regulatory authorities are studying whether to make “Proof of Reserves” a prerequisite condition for licensing.
Current Market and Licensing Progress:
- Although four domestic exchange competitors—such as CAEX, SCEX, and TCEX—have completed their 10 trillion VND capital increases and successfully passed Level-4 information security reviews, none have received an official operating license to date.
- With the implementation of Circular 165 taking effect on December 18 (which mandates daily transaction reporting), regulators still need to clarify whether custody audits require independent cryptographic verification or domestic bank custody.
- The final first batch of pilot exchange licenses is expected to be granted ahead of the statutory deadline in May 2027.