Vietnam to tax crypto like stocks with 0.1% trading levy: Report

💡 DMK Insight

Vietnam’s proposed crypto tax could reshape the trading landscape significantly. A 0.1% tax on transfers and a hefty 20% corporate tax on profits might deter speculative trading and push traders to seek more favorable jurisdictions. This could lead to reduced liquidity in the Vietnamese market, impacting local exchanges and potentially driving traders toward offshore platforms. The tough licensing standards could further complicate operations for existing exchanges, limiting competition and innovation. Traders should keep an eye on how these regulations evolve and consider adjusting their strategies accordingly. Here’s the flip side: while these measures might seem restrictive, they could also legitimize the crypto market in Vietnam, attracting institutional players who prefer a regulated environment. Watch for any pushback from the crypto community or potential amendments to these proposals, as that could create volatility in local assets. Key levels to monitor include the performance of Vietnamese exchanges and any shifts in trading volume that might indicate how traders are reacting to these changes.