Vietnam to Launch First State-Backed Crypto Exchange

Vietnam is set to launch its first homegrown cryptocurrency exchange. This comes following a partnership between the Vietnamese state-controlled Military Bank and the operators of South Korea’s Upbit exchange, Dunamu. Local media outlet The Korea Herald today reported that Military Bank and Dunamu signed an agreement in Seoul confirming their interest in developing Vietnam’s first domestic crypto exchange. Military Bank’s involvement in the project makes the upcoming exchange a state-linked initiative. The Ministry of Defense introduced the Military Bank in 1994, with the aim of providing credit to armed personnel in Vietnam. Since its launch, the bank has expanded its footprint in the country, serving 33 million clients. Dunamu's Expertise to Play a Crucial Role On the other hand, Dunamu’s expertise in crypto exchange operations comes into play. As the operator of Upbit, Dunamu has elevated the platform to the fourth position in the global crypto exchange rankings. It currently ranks behind Coinbase, Bybit, and Binance. At press time, Upbit boasts $3.94 billion in volumes over the past 24 hours. Therefore, Dunamu’s expertise is expected to play a crucial role in developing and operating the Vietnamese state-linked exchange. Notably, under the MoU, Dunamu will act as Military Bank's technological partner, providing the necessary infrastructure, tech, and compliance guidance. The Upbit operator will also provide Military Bank with guidance on establishing the necessary investor protection measures on the exchange while helping to develop employees’ talent. Besides contributing to the success of Upbit, Dunamu has been instrumental in shaping South Korea's crypto regulatory landscape. Dunamu has consistently advocated for clear rules for the country’s digital asset space, despite facing intense regulatory scrutiny. Vietnam Recognizes Crypto Assets Meanwhile, the initiative comes less than two months after Vietnamese lawmakers passed a law recognizing cryptocurrencies and non-fungible tokens (NFTs). In a meeting with the Vietnamese government, Dunamu’s co-founder Kim Hyoung-nyon pledged the firm's dedication to fostering the country’s digital economy vision. In line with this vision, the Vietnamese government rolled out its official blockchain platform, dubbed NDAChain, to provide a secure and high-performance infrastructure for logistics, healthcare, and education.