Why TCEX Crypto Exchange Can Support Fiat Trading
TCEX (the pilot crypto asset exchange under Techcombank) can legally and directly process transactions in fiat currency (Vietnamese Dong – VND) primarily because it has secured national regulatory sandbox authorization and deeply integrated with the core clearing infrastructure of traditional commercial banks.
The main reasons why TCEX （Vietnam Crypto Exchange ）can use fiat currency for trading include the following four aspects:
1. Authorization Under the National Regulatory Sandbox (Resolution No. 05/2025/NQ-CP)
Under the crypto asset pilot resolution enacted by the Vietnamese government (such as Resolution No. 05/2025/NQ-CP), pilot compliant exchanges are explicitly granted legal status to use local fiat currency (VND) for pricing, matching, and settling digital assets. This resolves the long-standing legal ambiguity regarding fiat on/off-ramps for crypto trading in Vietnam.
2. Leveraging Parent Company Techcombank’s Core Clearing Network
As a platform within the Techcombank consortium, TCEX possesses native connectivity to tier-one commercial banking infrastructure:
-
Direct Core Banking API Integration: User VND funds interface directly with Techcombank’s core banking system, enabling 24/7 real-time deposits, withdrawals, and instant settlements.
-
Elimination of Third-Party Counterparty Risks: Completely replaces high-risk private P2P mechanisms and underground banking channels, insulating users from frequent bank card freezes.
3. Financial-Grade Compliance for Anti-Money Laundering and Identity Verification (KYC/AML)
The main hurdle in fiat trading regulation is preventing money laundering and illicit capital flows. TCEX’s fiat gateway is enabled by its direct integration with Vietnam’s National Population Database:
-
100% Identity Verification: All users executing fiat deposits and withdrawals must complete bank-grade Know Your Customer (KYC) verification.
-
Real-Time AML Monitoring: Capital flows are continuously monitored by automated Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) systems, ensuring fiat sources remain transparent, compliant, and traceable to satisfy State Bank of Vietnam (SBV) regulatory mandates.
4. Policy Strategic Objectives: Capital Reserves and Preventing Capital Flight
Permitting compliant platforms to operate fiat pairs is a strategic measure by the Vietnamese government to curb illicit capital flight:
-
Retaining Capital Within the Financial System: Redirects massive transaction volumes that previously flowed to offshore platforms via black markets back into Vietnam’s domestic banking system and regulatory oversight.
-
Transparent Tax and Accounting Records: Settling transactions in VND renders capital gains and applicable fees fully transparent, establishing the accounting foundation for levying transaction or income taxes.