Opportunities and challenges for Vietnam to build a global digital asset ecosystem

Vietnam's digital asset ecosystem has important advantages in terms of human resources, products, and government support, but there are still many barriers related to the legal framework and big thinking to solve global problems.

Within the framework of the inauguration event of the Ho Chi Minh City Innovation and Entrepreneurship Center (SIHUB) building on August 23, Binance cooperated with SIHUB to organize the Ho Chi Minh City Fintech Summit: Regulation, Innovation and Opportunities.

Here, domestic and international experts pointed out the advantages and challenges that Vietnam is facing in order to build a sustainable digital asset ecosystem, thereby contributing to building a dynamic and developing International Financial Center.

Historical opportunities and international lessons for Vietnam

According to Ms. Le Thi Be Ba - Deputy Director of SIHUB, in recent times, the digital asset sector has received a lot of attention from the authorities in general and Ho Chi Minh City in particular. Especially in new areas such as innovation, Ho Chi Minh City is a bright spot on the world map when it is in the top 2 in Southeast Asia in terms of startups and the top 30 globally in terms of blockchain startups. In the field of fintech (financial technology), the city ranks 56th in the world.

From the perspective of a technology startup, Mr. Tran Huy Vu - Co-Founder and CEO of Kyber Network, believes that Vietnam has many advantages in the field of digital assets. In addition to a large population owning digital assets, startups with global quality products, high-quality human resources, and a digital asset ecosystem, Vietnam also has a historic opportunity when receiving policy support from management agencies.

Sharing the same view, Ms. Lynn Hoang - Binance Country Director believes that Vietnam has huge potential. If we grasp it promptly and have a sustainable roadmap, we can become a new type of financial center in the region.

However, experts also pointed out the obstacles for Vietnam to realize this dream. Mr. Nguyen Thanh Trung - Co-Founder and CEO of Sky Mavis - one of Vietnam's 'technology unicorns' emphasized that digital assets are gradually being recognized by law but there are still many unclear points that confuse both businesses and investors. Blockchain businesses want to contribute more to the country but do not know how to do it properly when there is no clear legal framework and guidance.

"Vietnam's advantage does not come from banning anything but from opening up something better than other countries. We have many difficulties related to the legal framework but this is a common challenge globally, if resolved it will bring a huge advantage to Vietnam," said Mr. Trung.

From the world's experience in building an International Financial Center, Ms. Lynn Hoang believes that Vietnam can learn from the UAE (United Arab Emirates) model.

Ms. Lynn said that in the past, the UAE was also on the 'grey list' of the FATF (Financial Action Task Force) like Vietnam is now. After that, they built a one-stop, multi-layered mechanism with a clear legal framework, clearly assigned roles, and set clear AML (Anti-Money Laundering) and CFT (Anti-Terrorist Financing) standards. Since then, the UAE (Dubai, Abu Dhabi) has not only become a new international financial center, attracting huge financial resources from the world, but also escaped the 'grey list' of the FATF.

Ms. Lynn Hoang - Binance Country Director shared lessons from some successful models in building an international financial center. (Photo: PV/Vietnam+)

Ms. Lynn Hoang believes that when building an international financial center, Vietnam needs a clear legal framework and can establish an international court right in the center to resolve issues of a global nature.

"In addition, we also need to have attractive incentive policies to attract talent, including international talent. Tax incentives are also very important, not only for businesses but also for individuals," Ms. Lynn Hoang suggested.

Changing mindset to dream 'global dream'

From a researcher's perspective, Associate Professor, Dr. Binh Nguyen from RMIT University believes that in order to become an international financial center, Vietnam must use a system that can be globalized.

Developing a digital asset ecosystem in Vietnam is not just about trading and investing, but should dream of a bigger dream that in 10-20 years it can change the entire world financial system, not just Vietnam. Dr. Binh believes that Blockchain is an important key to this vision. Vietnam has many advantages when it has pioneering companies leading global trends such as Kyber and Sky Mavis.

Sharing the same view, Mr. Tran Huy Vu said that Vietnam is famous worldwide for its mathematical ability and logical thinking. However, for many years, the reputation of Vietnamese information technology enterprises has been associated with software export. To be able to lead a 'bigger game,' Vietnamese people need to switch to the mindset of owning and operating software for global users, not just exporting. "The biggest barrier is the mindset. Operating a service is very different from building a system and exporting it for someone else to operate," Mr. Vu noted.

Adding to the above viewpoint, Mr. Nguyen Thanh Trung - CEO of Sky Mavis, said that daring to pose a big enough problem of international stature is also a key factor in attracting talents from all over the world to gather in Vietnam. He commented: "If you want to accelerate, you have to find big opportunities, participate in the global game, and make products to serve users around the world. To bridge the gap with developed markets, Vietnamese people themselves have to change their mindset. However, this is not a matter of one day or two, but requires long-term strategies."

Finally, looking at the future of digital assets in particular and the International Financial Center in Vietnam in general, experts believe that Vietnam is still a potential market in the eyes of international investors. Mr. Will Ross, Marketing Director of Dragon Capital Group investment fund, commented: "When looking at Vietnam, international investors still believe that this place will give birth to many more global products, which can generate greater profits, so it is still an extremely potential market."

The most special thing about Vietnam that this international expert noticed is the dynamic young generation, daring to dream big with a global mindset. Vietnam is also opening its arms, creating conditions for international talents to integrate into the domestic workforce, together creating great things for the world./.

(Vietnam+)

Source: https://www.vietnamplus.vn/co-hoi-thach-thuc-de-viet-nam-xay-dung-he-sinh-thai-tai-san-so-quy-mo-toan-cau-post1057549.vnp