Vietnam proposes allowing SMEs to use digital assets as loan collateral

Crypto Insight Summary: Vietnam's Ministry of Finance has proposed allowing small and medium-sized enterprises (SMEs) to use digital assets, virtual assets, and intellectual property as collateral for bank loans as part of a draft revised Law on Support for SMEs, currently open for public consultation. Under the proposed framework, businesses could also secure loans using future-formed assets, property rights, and other intangible assets. SMEs and household businesses make up more than 98% of all enterprises in Vietnam but receive only around 20% of total bank credit, a gap the Ministry attributes to a lack of eligible collateral, limited financial transparency, and small capital bases. Many startups and tech-driven companies hold valuable software, patents, or IP but lack physical assets to pledge, and the reform could open formal lending to thousands of such firms. The draft also encourages credit institutions to lend based on credit ratings, business plans, cash flows, and market potential rather than fixed assets alone, while offering incentives for green and sustainable businesses, including preferential credit guarantees and concessional financing. Vietnam ranked fourth in Chainalysis' 2025 Global Crypto Adoption Index behind India, the United States, and Pakistan. Deputy Minister of Finance Nguyen Duc Chi said the country could see its first regulated crypto market activity as early as Q3 2026, following a March licensing pathway for domestic trading platforms. Five companies, including affiliates of Techcombank, VPBank, and LPBank, have already passed an initial qualification round to launch the country's first regulated crypto Crypto Insight Analysis: Direction: Bullish BTC / Bullish ETH / Bullish SOL Impact: Minor Impact Horizon: Mid-term (1-8 weeks) Reasoning: Vietnam's move to accept digital assets as collateral could boost crypto adoption and institutional interest.