Building the foundation for a digital financial system

A historic milestone has been marked with the introduction of Resolution No.05/2025/NQ-CP, bringing digital assets out of the grey zone and into a clear legal framework, and a decisive step towards building a transparent, sustainable, and well-regulated capital market. It demonstrates the government’s commitment to modernising finance through innovation with responsibility, ensuring that technological advancement serves long-term stability and investor protection.

Rather than a sudden transformation, Resolution 05 represents a structured evolution in Vietnam’s financial architecture. The pilot enables regulators, financial institutions, and technology providers to collaborate and test blockchain-based products under strict supervision, generating valuable insights for future policy.

Over the next five years, it is expected to guide the establishment of standards for valuation, custody, and disclosure, shaping a new foundation for trust and transparency in Vietnam’s digital-finance ecosystem.

Tokenisation converts ownership rights to a real-world asset into a digital token recorded on a blockchain. Each token is backed by a legally recognised asset under licensed custody, while every transfer is logged on the ledger to ensure transparency and auditability. Investors can hold fractions of high-value assets, transfer them instantly, and verify ownership in real time, all within a regulated environment.

This cautious approach reflects a pragmatic strategy. Starting with products that closely resemble existing financial instruments, where valuation, disclosure, and investor-protection standards are already well established, allows the market to advance in a controlled and transparent manner. In doing so, the pilot serves as a transitional bridge between traditional finance and decentralised finance, retaining regulatory oversight and legal assurance while gradually introducing digital efficiency, transparency, and interoperability.

By sequencing innovation in this way, the government enables market participants to adapt responsibly, ensuring that each step forward strengthens supervision and public trust. Over time, this framework can expand to broader applications, allowing Vietnam to build a digital-finance ecosystem that is both progressive and firmly anchored in sound regulation.

Arriving at the right time

The introduction of a dedicated regulatory pilot reflects both foresight and timing. As Vietnam deepens its participation in global markets and accelerates its national digitalisation strategy, the need for a modern, data-driven financial system has become more pressing. Resolution 05 responds to this by setting clear parameters for technology adoption, giving institutions and regulators a shared structure to learn, adapt, and manage new forms of value.

Importantly, the resolution signals Vietnam’s commitment to progress through collaboration. By providing clarity and direction, it encourages market participants, from regulators and financial institutions to technology providers, to work together in shaping a financial ecosystem that is innovative, resilient, and aligned with international best practices. It is both a policy milestone and a confident step towards a more transparent and sustainable future for Vietnam’s capital market.

A defining feature of Resolution 05 lies in its balanced design, combining technological innovation with regulatory assurance. The framework introduces a dual layer of trust: legal recognition under Vietnam’s financial laws and technological transparency through secure, verifiable digital systems. Together, these elements ensure that every product within the pilot is both compliant and traceable, reinforcing confidence in the integrity of market operations.

This cautious yet forward-looking approach reflects Vietnam’s emphasis on sustainable progress. Licensed fund managers, securities firms, and custodians will operate under a unified supervisory model that promotes data integrity, investor protection, and interoperability between traditional and digital systems. By sequencing innovation in this way, the government ensures that each stage of development strengthens oversight and builds public trust.

As one of Vietnam’s long-standing asset managers, Dragon Capital is proud to support this transition by contributing expertise in responsible product design and market transparency. The firm’s initiatives in exploring regulated tokenisation models and publishing research on tokenised assets align with the spirit of Resolution 05, advancing innovation under clear governance and investor-protection standards.

Through this resolution, Vietnam is not only testing new financial technologies but also shaping a culture of transparency and accountability. The pilot will serve as a foundation for long-term reform, one where technological efficiency supports, rather than replaces, the principles of sound governance. In doing so, Vietnam is setting the stage for a capital market that is both modern in capability and anchored in trust, ready to engage confidently with the global financial system.

A strategic vision

Resolution 05 represents a long-term vision for Vietnam’s financial transformation. By embedding innovation within a clear legal framework, the government is laying the groundwork for a more transparent, efficient, and resilient capital market. This foundation will strengthen domestic confidence and enhance Vietnam’s reputation as a responsible and forward-looking participant in the global financial community.

The resolution reflects a deliberate strategy: to advance innovation step by step, ensuring that each phase of development reinforces governance and public trust. Through this approach, Vietnam is cultivating a financial ecosystem where technology complements regulation, enabling progress without compromising stability. Such a direction will encourage the growth of new financial services, attract long-term investment, and expand participation across the market.

In the broader context of Vietnam’s digital-economy agenda, Resolution 05 stands as a symbol of pragmatic leadership. It demonstrates how a developing economy can shape the future of finance through clarity, collaboration, and commitment to transparency. By aligning innovation with principle and technology with purpose, Vietnam is building a digital financial system defined by trust, accountability, and sustainable growth.

Resolution 05 also marks a shared commitment to Vietnam’s financial future. Its success will depend on close collaboration between regulators, financial institutions, and technology partners - each contributing expertise to ensure that innovation grows within a framework of trust and accountability. As the market embraces new opportunities, ongoing education and dialogue will help investors and professionals engage with confidence, guided by clear standards and collective purpose.

Vietnam’s measured yet ambitious approach offers a strong source of optimism. By establishing clear rules early and encouraging cooperation across sectors, the government has created an environment where progress and prudence advance together. This foundation gives assurance to both domestic and international participants that Vietnam’s financial transformation is not experimental, but deliberate, built on stability, transparency, and inclusion.

The spirit of Resolution 05 embodies Vietnam’s vision of a modern, open, and responsible financial system. By aligning innovation with good governance and technology with long-term value, Vietnam is setting a positive example of how emerging economies can lead confidently into the digital era. The path forward is clear, one defined by trust, collaboration, and a shared belief in sustainable progress.