Vietnam has banned Bitcoin transactions

The State Bank of Vietnam (SBV) finalized the legal framework for cryptocurrencies in the country following the orders of Vietnamese Prime Minister Nguyen Xuan Phuc earlier this year.

In a recently issued notice, the Central Bank lists recognized exceptions among the non-cash payment methods approved by the authority. These include common payment mechanisms such as checks, money orders and bank cards (credit and debit). Bitcoin is not one of them and is by default considered an illegal payment instrument.

Excerpt from the central bank statement reads:

“… according to the provisions of the law, Bitcoin and other virtual currencies are not legal tender in Vietnam. The issuance [mining], offering, use of Bitcoin and other similar virtual currencies as means of payment is prohibited in Vietnam."

In addition, this notice also revealed details of fines and the possibility of further prosecution for cryptocurrency proponents.

SBV advises that "the use of illegal means of payment (including Bitcoin and other similar virtual currencies) will be subject to a fine of 150 to 200 million. Vietnamese dong [approx. $9000]. At the same time, as of January 1, 2018, the issuance or use of illegal means of payment (including Bitcoin and other similar virtual currencies) may be subject to prosecution.”

The government does not explain the reason for such a radical decision, however, if you make an allowance for the form of government itself and the fact that the country’s economy is subordinated to the forces of the ruling party, then everything becomes quite transparent. Transactions involving cryptocurrency, if they are not openly advertised, are quite difficult to track, which, in turn, opens a window for independent enterprises that are otherwise completely dependent on the state.

According to https://coinspot.io