Da Nang: Testing tracking of crypto transactions from 500 USD and above

The news that Da Nang is the first place in the country to pilot a controlled crypto asset conversion project is attracting attention from many parties. How will the government manage to avoid misuse of cash flow?

Da Nang is bustling with many large projects being implemented and tested - Photo: BD

Speaking to Tuoi Tre Online on September 1, the Department of Science and Technology of Da Nang City said it had just issued a license for controlled testing of the Basal Pay software to deploy blockchain technology applications, exchange crypto assets with fiat money, and comply with international regulations on anti-money laundering and anti-terrorist financing (Travel Rule).

Closely monitor transactions of 500 USD or more in Da Nang

To facilitate and transparently deploy the software, the pilot license of the Department of Science and Technology of Da Nang City sets out many specific requirements to control transactions.

Specifically: AlphaTrue Solutions Joint Stock Company (the company authorized to test) is responsible for controlling the flow of crypto-asset deposits, complying with recommendations on anti-money laundering and anti-terrorist financing.

All transactions will be automatically checked for origin continuously, reviewed at the time of deposit based on the history of asset movement with the related person.

The software must comply with international regulations on anti-money laundering and anti-terrorist financing for crypto-asset deposits and withdrawals with a value of 500 USD or more. For small transactions with signs of connection with a total value of 500 USD or more, the software will automatically activate the Travel Rule mechanism.

In case the analysis tool warns of a suspicious transaction, the anti-money laundering department will conduct an internal investigation and trace the transaction flow on the blockchain.

Employees work in Software Park No. 2, one of three locations testing the crypto asset conversion project - Photo: BD

From there, identify the origin of unusual transactions, record transactions with signs related to dirty money, money laundering, and terrorist financing to coordinate with authorities to handle according to regulations.

Regarding the control of exchange rate fluctuations of crypto assets, the Department of Science and Technology of Da Nang requested the testing unit to coordinate with commercial banks to develop a risk insurance plan due to

exchange rate fluctuations, liquidity risks and ensuring stable cash flow during the testing period.

Block unauthorized transactions outside of testing scope

An important requirement also set by the State management agency in Da Nang regarding the operation of Basal Pay software is to set up a solution to control electronic identification of all customers (eKYC) before transactions.

Electronic identification of customers is required when the total value of transactions generated by the user is 500 USD or more. All identification data must be compared and screened by the anti-money laundering department based on the updated banned lists according to international standards.

In case a user is found to be on the banned list or has signs of being involved in money laundering or terrorist financing, the user will be immediately blocked and reported to the competent authority.

In the license, the Department of Science and Technology of Da Nang requires the pilot unit to only implement the project in 3 locations within Da Nang City, including: Da Nang Center for Supporting Innovative Startups, Da Nang Software Park Concentrated Information Technology Park and Da Nang Software Park No. 2.

Danang Software Park No. 2 - Photo: BD

To ensure that the software is not tested outside of its scope, the State management agency requires close supervision. If deployed outside of the permitted location, the software will warn and block the entire transaction process, not allowing the next payment step to be performed.

Location and transaction information will be fully recorded to serve the inspection, monitoring and reporting of management agencies.

In addition, in case of complaints related to signs of fraud, money laundering, use of dirty money or software attacks, the customer care department of the testing unit must immediately forward the case to the anti-money laundering department for investigation and handling according to the procedure.

The test unit will alert when the total balance of user tokens reaches over 10 million USD (updated in the software or when the software records a user or multiple users' total deposit exceeds 2 million USD within 1 hour.

An account can only trade a maximum of 1,000 USD/transaction and the total number of transactions cannot exceed 1,000 USD/day.

On August 26, Vice Chairman of the People's Committee of Da Nang City Ho Quang Buu signed a decision approving a 36-month controlled trial of a technological solution related to the conversion of crypto assets.

According to the decision, the controlled pilot project is Basal Pay software of Alphatrue Solutions Joint Stock Company (a newly established enterprise in Da Nang).

Thai Ba Dung

Source: https://tuoitre.vn/da-nang-thu-nghiem-theo-doi-cac-giao-dich-ma-hoa-tu-500usd-tro-len-20250901114918767.htm