Bitcoin Forum

The State Bank of Viet name has reiterated that the ban on bitcoin was still effective and that offenders could be fined to the tune of 10,000$ ,insisting that the only acceptable cashless forms of money remain the traditional cheques, wire transfers etc. In the light of growing adopting on bitcoin by a lot of countries, Is this an effective way for the Vietnamese bank to control cash in the economy or it stems from lack of understanding of the wonders of bitcoin? Opinion!

Excerpts from:
https://vietnamnews.vn/economy/business-beat/463624/calls-again-for-scrapping-credit-growth-limits-for-banks.html#X4jxEAAsFx9O4jk0.97

Is the state bank the only bank one can use in Vietnam? (Sorry for my ignorance)

Obviously Bitcoin exchanges are global, so you don't need to use a Vietnam based option. If a Vietnam resident and national can only use the bank of Vietnam they'll only need to set up a bank in another country to use to funnel their bitcoin purchases and sales.

More importantly...why do you want to sell your Bitcoin?

Are the banks really so scared of Bitcoin that they need to start fining people who want to use it? That screams of desperation on their part. Greed on top of greed. Maybe if they weren't so greedy in the first place, people wouldn't be scrambling for an alternative.

I thought I'd clarify: Vietnam bans Bitcoin use as money, much like Indonesia does.

Also, this is not anti-crypto as much as it is just implementing their laws. Their only legal tender is the Vietnamese Dong and using everything else (USD, GBP, etc.) for transactions is illegal:

https://luatminhkhue.vn/en/circular/circular-no-32-2013-tt-nhnn-dated-december-26th-2013-of-the-state-bank-of-vietnam-on-guiding-the-implementation-of-regulations-on-restricting-the-use-of-foreign-exchange-within-the-territory-of-vietnam.aspx

Trading and holding is a little more of a gray area:

http://vietnamlawmagazine.vn/legality-of-cryptocurrencies-in-vietnam-remains-unclear-6170.html

It probably should be allowed, because AFAIK Bitcoin hasn't been legally classified as anything in Vietnam yet, but you never know how these rules could be implemented. Either way, I don't think they'd go as far as to prosecute individual holders and small traders for as long as they don't use them for payment.

The Vietnamese are not banned fro using the crypto, their banks are banned from transacting in the cryptos.

Many countries have imposed ban on bitcoin. Just because they can’t use it as a regular form of payment doesn’t mean they can’t buy in some other ways and hold for long term. Banks are just scared of bitcoin and also some countries fear that bitcoin might be used for money laundering.

screw them. If you want to use bitcoin, you still can and they will never find out. That is very cool abour crypto. They can be threating with fines, but they wouldn't really know

I think that it can be more harmful for the banking system of vietnam as it is already in crisis. The banks and govt should generate new ideas by giving bitcoin and other cryptos priority because people will soon adopt these as main form of transaction.

you know hearing this kinds of news is very upseting that the banks are being so unfriendly towards bitcoin, I am not sure why would they fine those who will use it but Ivan clearly assume that very soon the world will understand it importance

Are the banks extremely so frightened of Bitcoin that they have to begin fining individuals who need to utilize it? That shouts of franticness on their part. Eagerness over covetousness. Possibly on the off chance that they weren't so ravenous in any case, individuals wouldn't scramble for an option.

The danger of governments not classifying assets and use cases is that it offers them way more freedom to blatantly prosecute individuals left and right.

In all cases you are wrong and the government is right because they make the rules and bend them at will, especially if they don't like the way you conduct business or speak out against them publicly. That's how things have been happening in China for years and to a certain degree also happen in Russia. In other words, the lack of clarity means more power to the governments, and that directly translates into suppression.

What I know about vietnam's rules is that they have prohibited bitcoin in their country in term of payment. But if this happens this would not be good. I really don't get the point of refusing it as a payment method now they are talking about applying fine against it.

Bitcoin are world base digital currency. you can use it in whole world. it is more secure and potential. its transaction speed so fast and transaction fees are low. its most popular in the whole world. i think it's better from vietnam currency.

Why you are thinking so much? There are many options you have. Bitcoin exchanges are global so you don’t need to be dependent only on Vietnamese banks. So nothing to worry about it.

bitcoin are popular and profitable in crypto world. it is world base currency. it makes transaction are easy and secure with increasing transparency. it service  are better than vietnam currency.

I think banks will always depend on government stands on Bitcoin legality that is why i wonder on why the banks are the one who will impose this huge penalty amount. Maybe this is applicable only to those bank clients that will engage in Bitcoin activities but this will not favor the banks because they will just make the people to stay away from the bank too if this is really a bank policy.

Viatnam state bank why do this i don't know but that's expressed greed. But hope that's not able to felt a bad effect.

the steps taken by the Vietnamese government may be temporarily accepted, but we must be aware that the decision of one party may be detrimental to many parties, and I think the big business actors will find it very difficult to accept

in addition to the need for a fast and secure amount of exchange a lot of currencies in one country cannot fulfill it, because one country's currency is usually only used in that country and is used only in traditional markets, but now the era has changed and the buying and selling system is online

so the government should start opening up with currency a new type of cryptocurency that is very safe and has a lot of convenience.

Vietnam starting to fined them who used to  transect bitcoin. That's not a good news for them who are used to transect crypto from vietnam.

Based on many things actually banks are against it but if we think about current situation then we can see Big bank like Switzerland bank is really positive about this currency.

None can stop a BTC user to use it, there are thousands of ways to use, as BTC is a free blockchain based currency and also it is not centralized but a global. You get problems only when you try to find exchanges in Vietnam and try to purchase something with it.

If we think about modern situation then some banks are really helpful for crypto currency especially for BTC but most of the banks are against it because of their personal benefits.

Actually this market is very profitable and has good future but most of the banks don't like BTC along with crypto currency because they think it may disturb their business but bank like Switzerland already open for such types of initiative.

That's not a good news. There are many countries in the world that has banned Bitcoin and has an anti-crypto mentality. Probably, they fear that Bitcoin and cryptocurrency might replace them in future.

I think Vietnam has a much more worse condition compared to India as it still allows cryptocurrency trading as well as they have their own local crypto exchanges while here in Vietnam they suddenly prohibited mining as well as trading. I remembered that I have read a news report about the government confiscating imported mining equipment for some mining corporations both locally and foreign miners sad to say that the ones who are mining in Vietnam is in a lot of trouble with this legal changes.

This is sad to see that the banks are so reluctant to get associated with this currency given it is so popular and countries like Switzerland are so open to it.

Nothing to worry because within a few days Vietnami people will get it safe I guess. Digital currency is a big market so such events can occasionally rotate in. I hope that the problem will be solved within a short time.

The coin is not banned entirely. It was banned, that it bitcoins are banned to be used as a fiat. So, if you are in Vietnam, you cannot covert it into fiat.

It just show how desperate their banks to ban Bitcoin from their country but Bitcoin is not that limited to any banks. It could be use globally and they have to do is to exchange their Bitcoin to any money that can be converted to their fiat currency and the problem solved.

Without insisting to their banks that Bitcoin is a kind of cashless form of whatever they think it is because technically they don't know what Bitcoin is, don't they?

I think that The Vietnamese government's action against Bitcoin would not affect in the crypto market widely. Because bitcoin is being operated globally.

Whenever government release a set of rules, its sure to come along with punishment for anyone who flout the judgement as it is the same in every law enacted by government. In tax laws for example there is always the punishment of prison sentence but over here since the beginning of time, I have not seen anyone committed to prison because of that the worse that have ever happened is the payment of fines. In this case, one thing is sure, they cannot stop bitcoin or its use, the onus is then on the users in that part of the world to protect themselves by not unnecessarily exposing themselves to the eyes of the law because when one person is caught, he will be surely made as an example for others.

I agree. It's scary, and I'd say it's a really good thing that there doesn't seem to be much news about governments abusing cryptocurrency regulatory ambiguity. For this case specifically, they do seem to be trying to develop a framework:

https://vietnamnews.vn/economy/420644/vn-needs-cryptocurrency-laws.html#yJkWth4dtkQxKyvr.97

...but that's the latest update and that was 7 months ago, so the Vietnamese crypto community still needs to take extra care of their activities.

I think there is no reason to worry about it because Bitcoin is the global digital currency. In anytime, anywhere in the world and anyone can transition or trade through through this mighty platform.

I don't know the local equivalent of that $10k to their currency but I'm certainly sure that that an average Viet trader cannot afford to pay that fine. Looks like their country is very serious to prohibit the use of bitcoin so their citizens should migrate to another country if they really want.

Oh no! That was a terrible news for our Vietnamese crypto friends out there. I can't see any loopholes from this to be honest because I think using exchanges for converting crypto to fiat (Vietnames Dong) won't work because the bottomline, you are using crypto. Well, much safer if you will now stop using btc if that's the case or else you will be fined by a large amount of money, because if you insist and get caught, the profits you generated from crypto might be not enough to pay the fine — so inefficient.

Many countries do not understand that bitcoin can help not only people, but the state too, if they start to extract them.

Such methods apply only those countries in which a weak national currency or not a real market economy. That is, the states in this case are afraid that people will translate. money to other states, and sometimes they themselves will go there after them. Therefore, it is easier for them to operate with the usual and customary for them administrative methods.

From my limited understanding of the situation, it looks like using Bitcoin as a payment medium is a punishable offense, but holding coins is not illegal. There may be some loophole. What if a Vietnamese national travels to Singapore and converts his coins to SGD there?

If we are a normal investors who is just want tant to invest our savings amount from the salary on to the bitcoin will not get into the eyes on those governments because they only notice the of big amount of transfers with the citizen but you still can send the money without using the banks so if you want to invest on bitcoin even if you are from restricted place you have the chance to do it but risky though.

I don't think that it's logical at all, nor is it going to be effective.

Serious bitcoin traders with international connections are most likely going to continue to trade no matter what the policy is. A $10k fine is unlikely to deter anyone from trying to access, use, and trade bitcoin.

Also, banning bitcoin essentially means missing out on tons of government revenue if the crypto industry was to be legalised, and regulated. This is probably not as well thought out. It's understandable though that they'd want to continue to assert their control over the economy, which may be the reason why this ban exists, but there are still plenty of other ways for capital to flow out of their country without the need of bitcoin whatsoever. It's not like bitcoin is anywhere near being significant as a tool for people to carry funds out of the country, especially in countries with low adoption like Vietnam.

The goal is so, every bank (I guess the bank is fully regulated by the government) will look for many ways so that bitcoin cannot develop in its country. I'm sure bitcoin won't take a long time to gain great popularity when a country provides a regulation for bitcoin. The function of bitcoin is very broad, not just as a digital currency or payment system. So it is appropriate for countries that do not want to take a big risk to receive bitcoin used as a legal currency in their country. In general, countries that reject the use of bitcoin are developing countries, they are still closed to new technologies related to the economy.

bitcoin will not get much acceptance in countries like Vietnam and China, because in these countries their governments control everything, they want to have total control over their people


I doubt that China will accept bitcoin


Meanwhile, the Indian bank is still not friendly with bitcoin

Reserve Bank of India Anticipates Shift to P2P Crypto Trading (https://news.bitcoin.com/reserve-bank-of-india-p2p-crypto-trading/?utm_source=OneSignal%20Push&utm_medium=notification&utm_campaign=Push%20Notifications)