Cryptocurrency, Featured

Vietnam Warns Industrial Sector, Prohibits Use of Crypto

Vietnam’s securities regulator has warned the industrial sector to steer clear off activities related to cryptocurrency. Vietnam news reported earlier that State Securities Commission (SSC) strictly told firms not to entertain transactions or brokerage of cryptos. They urged the companies to follow laws in order to abolish illegal transactions.

Previously, the country’s Central Bank, the State Bank of Vietnam banned commercial bank and service providers from dealing in cryptocurrency. It claimed that undertaking crypto related activities could increase the risk of money laundering, terrorism, and tax evasion.

According to the Coin Desk report, Vietnam’s Prime Minister had earlier asked it’s officials to forbid all crypto activities. However, there was a supposition that the Prime Minister might reconsider the decision and legalize cryptocurrency. The country has already banned the use of cryptocurrencies as a form of traditional currency.

The SSC explains that the ban is in response to a directive by Vietnam’s Prime Minister on April 11. Several ministries and law enforcement authorities were ordered not to partake in crypto activities related to Bitcoin and others.

Furthermore, to limit crypto activities, the central bank has initiated a move to block the import of mining devices into the country. Vietnam is taking all measures necessary to discourage the activities involving cryptocurrency. Irrespective of the measures being temporary, the cryptocurrency market has received a severe blow in the growth.

Last week, the State Bank of Vietnam agreed with government’s proposal to suspend the imports of cryptocurrency mining equipment. Fearing that it will encourage illegal trading, Vietnam is completely opposing the use of crypto trade.

As per of now, the cryptocurrency market is dwindling as it is receiving negative criticism from quite a few countries. Several countries like Vietnam are refusing to replace traditional currency with virtual coins as they do not believe it’s credibility.

[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]
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Divya Pandit is a copywriter as well as a content writer, and she specializes in writing blogs, product descriptions and articles. Working in an entertainment company as a content editor has more than 2.5 years of experience. A writer by day and a reader by night has a flawless writing skill and loves to pen her thoughts in words.

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