Vietnam May Require Crypto Exchanges to Disclose Transaction Data Across 4 Value Tiers
The State Securities Commission is seeking feedback on a draft Circular guiding the reporting and information disclosure regime in the cryptocurrency market. A notable point is the proposal to divide transactions into four value groups, and for service providers to publicly disclose more data on trading activities.
Transactions are divided into 4 value groups.
According to the draft, organizations providing cryptocurrency services must submit daily transaction reports to the State Securities Commission.
The reported data includes not only the total volume and value of transactions but also categorizes investors into groups, including individuals, institutions, domestic investors, and foreign investors.
Notably, the proposed transaction is divided into four value tiers:
- Under $1,000;
- From $1,000 to $5,000;
- From $5,000 to $10,000;
- Over $10,000.
For each group, the service provider must compile statistics on the number of transactions, total value, and corresponding proportion.
This grouping method helps market data better reflect the structure of transactions, rather than simply providing a total figure for volume or value.
The exchange must publicly disclose the three best buy and sell prices.
The draft also proposes that organizations providing cryptocurrency services must publicly disclose data related to trading activity on their systems.
This includes the three best bid prices and three best ask prices for each cryptocurrency, along with the corresponding buy or sell order volumes.
This data set reflects the order book status and the supply and demand levels of an asset at any given time.
Information regarding cryptocurrency trading activities by foreign investors is also among the data expected to be disclosed.
The previous day’s data must be published no later than 9:00 AM.
A notable timeframe in the draft is 9:00 AM on trading day .
At the latest by this time, the service provider must publish data generated between 0:00 and 24:00 of the preceding day.
The information expected includes the total number of assets allowed to be traded on the system, price fluctuations, number of orders, volume, and value of buy and sell orders.
For each cryptocurrency asset, data on price, volume, and transaction value must also be published. The scope of statistics includes matched orders and negotiated transactions if any are generated by the system.
The issuing organization must also disclose information.
The information disclosure obligation in the draft does not only apply to the platform operator.
For issuers of crypto assets, the prospectus must be published at least 15 days before the offering or issuance date .
If any content needs to be revised or supplemented, the information must be updated within 3 days .
After the offering period ends, the results must be announced within 7 days .
In the event of any changes related to the conditions or characteristics of the issued crypto assets, the expected timeframe for information disclosure is 24 hours .
Add a report when adding or removing an asset from the trading system.
When selecting a cryptocurrency to include in the trading system or deciding to remove it from the system, the service provider must also report to the regulatory authority.
In addition to daily reports, units are also obligated to submit monthly reports on transaction status.
The periodic report is expected to include information on transactions showing signs of violations, serving the purpose of market monitoring and supervision.
Individuals holding 1% or more of the charter capital are subject to reporting requirements.
The draft also addresses reporting obligations for shareholders and certain individuals associated with organizations providing cryptocurrency services.
Accordingly, any organization or individual owning 1% or more of the charter capital must report any change in ownership ratio at least 3 days in advance.
Board members, CEO, CTO, and related parties must also report at least three days in advance if they conduct transactions involving crypto assets held in custody at the service provider.
For issuers, when planning to repurchase the crypto assets they have issued, the minimum advance notice period is 7 days .
Foreign investor accounts are also monitored.
The bank or foreign bank branch where the investor opens a dedicated account for trading crypto assets is expected to submit quarterly reports.
A summary report on the revenue and expenditure of these accounts will be submitted to the State Securities Commission, the Ministry of Public Security, and the State Bank of Vietnam .
The proposal is currently in the public consultation phase.
The above points indicate that the draft aims to create a more detailed data system for the cryptocurrency market, encompassing everything from order books and transaction sizes to the activities of domestic and foreign investors.
Dividing transactions into four value groups also helps regulators better monitor the structure of small and large-value transactions in the market.
However, this is currently still a draft under review . The specific requirements and timelines may continue to change before the official document is issued.（Vietnam Crypto Exchange）