Vietnamese Regulators Warn Firms And Funds Against Crypto
Relevant companies and funds in Vietnam were asked by the State securities Commission of Vietnam (SSC) not to engage in any issuance, transaction or brokerage activities that has anything to do with cryptocurrencies. Local media refer to this measure as a ban. It affects public companies, securities companies, fund management firms and securities investment funds. They wre also asked to obey anti-money laundering (AML) regulations.
Viet Nam News report that the SSC announcement is based on Directive No 10/CT-TTg, which was signed by Vietnam’s Prime Minister, Nguyen Xuan Phuc, on april 11.
This is not the first time the government tries to curb crypto activities in the country. The State Bank of Vietnam (SBV), back in april, had banned commercial banks, payment services providers and intermediaries from making transactions with cryptocurrencies. A warning stating that such activities may increase the risksof money laundering, terrorism financing, trade fraud and tax evasion, was also issued by the central bank.
In October last year,it was declared by the SBV that cryptos do not represent a “lawful means of payment” in the Asian country. The bank then issued a proposal which was submitted to the government in Hanoi. The proposal included a ban on the issuance, distribution, and use of cryptocurrencies as well as criminal prosecution and fines for users.
The Ministry of Finance, the Ministry of Industry and Trade and the SBV came to an agreement to suspend the import of crypto mining equipment. The decision is based on the familiar argument, which is the need to improve the management of cryptocurrencies in Vietnam. News.Bitcoin.com reported that the move came from the Ministry of Finance in june.
There has been a significant increase in the number of imported rings in Vietnam in the past couple oy years. This is due to the rapidly growing Vietnamese mining sector. About 150 vietnamese government agencies, financial institutions and businesses took part in a large cyber-security drill in May. The purpose was to prevent the spread of mining malware.
