Article Outline
Second [Vietnam Country Overview]
Three [Digital Vietnam]
Four [Vietnamese blockchain]
1 Policy
2 Boom
3 Vietnam Blockchain Ecology
● Regulatory Authority
● Media and Community
● Trading Platform
● ICO Platform
● Investment Incubator
● ICO Project
4 Beecast’s Summary
5 The Experience of Foreign Companies Landing in Vietnam
6 Beecast Vietnam Blockchain Diary
First [Preface]
The embodiment of socialism, the alias of small China. This is a lot of people’s impression of Vietnam. Vietnam is really like China of 20 years ago.
Now many low-efficiency economic forms that have been eliminated from China appeared here. Some low-end manufacturing industries appeared directly in Vietnam, so many of the clothes made in china have been changed to “made in Vietnam”.
This unique country with 100 million people whose average age is only 29 years old and whose core values are “freedom, independence and happiness” is influencing the world with its unique influence.
Second [Vietnamese country brief]
Population: Vietnam has a population of 96.46 million in 2018, with an average age of 29 years old. The demographic dividend has laid a huge consumption base for Vietnam. Due to the low income of Vietnamese people, but the price is not low, coupled with the strong consuming desires of Vietnamese people, more young people, and the speculative mentality is widespread in Vietnam. Therefore, in the past two years, Vietnam’s microfinance, stocks and digital currencies have been rapidly develop.
Labor: The age structure of the Vietnamese labor force is younger, and the labor force participation rate of over 15 years old is 76.61%. The per capita wage is low, and the average monthly salary is about $200. Low labor costs attract foreign investors to move production and processing bases into Vietnam. The salary level of a white-collar worker with higher education is $500–600.
Education: There are 235 colleges and universities nationwide, with an annual increase of 1.7 million college students.
GDP: Vietnam’s GDP grew by 7.08% year-on-year in 2018, and the total amount reached VND 55,352,670 million, about $242.5 billion and 1.6 trillion yuan, slightly less than 1/2 of Shanghai’s GDP.
Stock Market: The Vietnamese stock market has resumed its upward trend since 2016, breaking through the previous high and moving towards a big bull market in 2017. In 2017, the Ho Chi Minh index rose by 48%, ranking first in the world. At present, the overall market size of the Vietnamese market is small. Even if the Vietnamese stock market rises sharply, the valuation is still attractive. At the end of 2017, the Vietnamese stock market PE was 17.5 times, and the PE in 2018 was 14.7 times. Therefore, the future growth of the Vietnamese stock market still has great potential, and now the market can also enjoy the dividend of Vietnam’s economic development.
Three [Digital Vietnam]
In 2018, Vietnam’s urban population accounted for 36%. The number of mobile phone users is as high as 143.3 million, which is 148% of the total population. There are as many as 64 million Internet users, accounting for 66% of the total population. There are 62 million active social media users, accounting for 64% of the total population. Mobile social media users reached 58 million.
Mobile phone penetration rate reached 97%, of which smartphone penetration rate reached 72%.
The average daily use time of the Internet is 6 hours and 42 minutes, the average daily use time of social media is 2 hours and 32 minutes, and the average daily use time of music streaming media is 1 hour and 11 minutes.
Four [blockchain Vietnam]
— 1. Policy —
Whether the market in a country is good not just depends on the enthusiasm of investors, but the attitude of the government to the encryption market.
In 2016, the Vietnamese government planned to introduce a corresponding legal framework for virtual currency and property. The Vietnamese government has begun a comprehensive review of digital currency, and plans to eventually create a “comprehensive legal framework for virtual property, electronic money and virtual currency” for the country.
In 2017, the attitude of the Vietnamese government changed. The National Bank of Vietnam confirmed that Bitcoin and other similar virtual currencies are not legal payment methods in Vietnam. Vietnam prohibits the use of virtual currency as a payment method.
In June 2018, according to local media reports, in the government opinion report on cryptocurrency management, the Ministry of Finance proposed to suspend the import of mining equipment.
In September 2018, it was reported that the Vietnamese government is expected to introduce digital currency-related policies and guidelines, and the direction is still unclear.
In November 2018, the Vietnamese authorities were still taking measures to regulate the field of cryptocurrency. At the same time, the Ministry of Justice proposed several alternative solutions. Local officials pointed out that after the executive powers choose the regulatory trends they want to follow, the relevant ministries will establish an appropriate legal framework to manage digitalIn September 2018, it was reported that the Vietnamese government is expected to introduce digital currency-related policies and guidelines, and the direction is still unclear.
In November 2018, the Vietnamese authorities were still taking measures to regulate the field of cryptocurrency. At the same time, the Ministry of Justice proposed several alternative solutions. Local officials pointed out that after the executive powers choose the regulatory trends they want to follow, the relevant ministries will establish an appropriate legal framework to manage digital assets and currencies.
Beecast commented that the Vietnamese authorities have no specific official attitudes and opinions on the understanding of digital currency. Compared with the complete ban of some countries, Vietnam’s attitude towards encrypted transactions is very friendly. Overall, the Vietnamese blockchain policy is still relatively modest.
— 2 Boom —
Vietnam’s interest in blockchain technology is rising rapidly. In mid-March 2018, more than 2,000 people participated in the two-day “Vietnamese Blockchain Week” conference in Ho Chi Minh City, which was also the first large blockchain conference in Vietnam.
Nearly 1,000 people participated in the Vietnam Blockchain Day held in December 2018. The projects were all from Vietnam, China, Japan, Korea and the United States.
Vietnamese programmers have high programming skills, and the blockchain community is very dynamic. Many start-ups want to explore more blockchain applications, rather than being limited to cryptocurrencies. In addition, many exchanges are vying for the Vietnamese market.
Both the Huobi and OKEx have opened the VDN legal currency channel, and all of them have operators in Vietnam. The currency traders in Vietnam are also over 15%, and the number of users in other exchanges of Vietnam is also very large.
— 3 Blockchain Ecology —
-| Regulators |-
1. SBV (State Bank of Vietnam)
The Central Bank of Vietnam is responsible for researching and tracking blockchain technologies and applications in various financial scenarios such as digital currency, bond issuance and guarantee letters.
2.SSC(State Securities Commission)
Vietnam’s leading digital asset regulator, providing digital tokens and digital asset-related activities that regulate and manage all digital currency transactions.
3. HOSE (Ho Chi Minh Stock Exchange) and HSE (Hanoi Stock Exchange)
HOSE is the main board of Vietnam, and the market value of the company is relatively large. HSE is a small and medium-sized enterprise board with a small market value. The two stock exchanges are not directly involved in the regulation of blockchain and digital currency, but provide advice on the securitization of blockchain in Vietnam and serve as a think tank for digital currency compliance.
-| Media and Community |-
1.Beecast
Beecast covers Singapore, Bangkok, Hanoi, Ho Chi Minh, Kuala Lumpur and Jakarta, launching a first online discussion program “Blockchain in SEA” and offline interview “AndyView” in SEA. The program has attracted more than 300 Blockchain investors, projects, communities and other parties in Southeast Asia.
2.Saigon TradeCoin
STC is a large blockchain community focused on popularizing encryption and blockchain knowledge as well as financial knowledge. The management team has a wealth of experience as well as knowledge, and is particularly good at building and expanding the community. It committed to becoming the largest and most reputable blockchain and encryption media sector in Vietnam. Its number of Facebook users is 15,600 people.
3.VIC group
Founded in 2016, VIC Group was originally the mining community and is currently one of the largest communities of encrypted digital currencies in Vietnam. Its community has an average of tens of thousands of active users and hundreds of thousands of social channels. An active member. VIC has made achievements in various fields such as mining, trading, ICO and blockchain technology. In addition, VIC is developing its own Dapp wallet VICOIN. Facebook users 46,000.
4.Coin68
The Coin68 is Media Community, which carries related information of blockchain and digital currency from other blockchain information websites around the world, and is presented with Vietnamese form in the Vietnamese market. Its number of Facebook users is 10,000 people.
5. KTS (Kiếm Tiền Số)
A digital currency communities that many Kols manage together, one of the largest communities in Vietnam with 75,000 Facebook users.
6.TraderViet
TraderViet is a forum for Trader Vietnam. It was founded in 2008, and it begin with explaining stock market information and is now expanding into the digital currency field with 43,000 Facebook users.
7.BitcoinVietnamnews
It founded in September 2016, the early days was the community of BTC Vietnam.And the content associated with the digital currency is now reported with 30,000 Facebook users.
8.Krypital
One of the largest blockchain community services in Vietnam, with around 50,000 Facebook and Telegram users totally.
9.Blogtienao
One of the largest communities in Vietnam, specializing in digital currency investment and secondary market analysis with 76,000 Facebook users.
10. Other
Beecast commented that there are many Vietnamese communities and lack of professional vertical media. The sources of information mainly come through two channels: one is the homepage of major communities, and the other is the CoinMarketCap blockchain information retrieval platform. The local news production in Vietnam is rare, most of them are documents extracted and translated from other foreign websites so that the information transfer causes the information lag.
-| Trading Platform |-
1.Remitano
It established in June 2014, it is the largest C2C digital currency trading platform in Vietnam, supporting USDT, VND and US trading channels. It is currently planning to push the market from Vietnam to Malaysia, Cambodia, China, India, the United States and other countries.
2.Bitcoinvn
BitcoinVN is the first bitcoin exchange in Vietnam and one of the largest OTC trading platforms in Vietnam. BitcoinVN has long-term trading users of around 80,000.
3.IDCM
It was laid out in Vietnam in November 2017. It has coin-coin transactions and legal tender-coin transactions. It has a variety of legal tender-coin channels including VND. The number of users in Vietnam accounts for 33%.
4.VBTC
BitcoinVietnam’s investors launched the VBTC exchange in July 2014. VBTC can only trade Bitcoin, and investors can withdraw cash at thousands of locations in Vietnam.
5.Financex
The Coin-Coin trading platform currently has the VND and IDR channels.
6. Other
Beecast commented that there are only a handful of localized exchanges in Vietnam, most of which are OTC platforms. Exchanges including Binance, Huobi and OKEx are gradually being deployed in Vietnam, and some have been supported without licenses. The legal currency-coin channel opened in danger and we prospect of the local exchange unicorn.
-| ICO Platform |-
1.ICOgens
ICOgens is a platform of BigCoinVietnam, which helps some projects to do ICO public placement and project ratings. The dozens of projects it served currently have been launched in Vietnam.
-| Investment Incubator |-
1.BigCoinVietnam
BigCoinVietnam is Vietnam’s largest blockchain service company focused on the blockchain industry, including:
BigCoinVietnam, a comprehensive service platform for marketing, cooperation, and incubation.
ICOgens, the largest ICO platform in Vietnam, has serviced more than dozens of projects;
Bigcoin Capital, a well-known blockchain investment institution in Vietnam;
2.Infinity Blockchain Labs
Inifinity Blockchain Labs is one of the largest blockchain incubators in Vietnam. Its main business includes blockchain education and training, project incubation investment, and its blockchain media Asia Blockchain Review, Infinity Wallet as well as Fruitchain, and conducted offline events in Vietnam, Thailand, Malaysia, Japan, etc.
3.BigCoin Capital
BigCoin Capital belongs to BigCoinVietnam, a well-known blockchain investment institution in Vietnam. Investment cases: ToMochain, Perlin, Blockcloud, etc.
4.Nexus
Nexus frontiertech, an AI and big data technology company across the UK and Vietnam, is also investing in blockchain, and has invested in more than a dozen projects in Vietnam with high returns.
5.VB capital
Focus on the venture capital in the blockchain field, investment case: Seele, Wanchain, HoLo, Omisego, Zcoin, etc.
Beecast commented that Vietnam does not have a domestically-accepted TokenFund. The overall local investment is relatively primitive. To a certain extent, it is affected by the high threshold of traditional investment and Internet investment.
Because a large number of communities exist, community managers act as “agents”, retail investors look for agents, and agents look for organization. Although the investment amount of per person is not high, when the investor base is large, the total investment is considerable.
-| ICO Project |-
1.Kyber network
Established in 2016, under the influence of V God and a huge fundraising of 500 million, the project wants to create a platform to provide decentralized trading functions on the Ethereum agreement, while also providing payment platform API with the ability to handle any pass payments.The current project is still in operation. Besides, it often hold meetup.
2.ToMochain
ToMochain is Vietnam’s largest public chain integrated smart contract. Its transaction costs are almost zero. It is the underlying public chain of instant payment verification, the project’s tokens have also been listed in many trading platforms.
3.Nexty network
Nextry is a blockchain financial technology ecological project based on Ethereum’s independent payment system with high scalability and zero transfer fees.
4.ZeroBank
Zerobank uses smart contracts and a shared economy model to eliminate barriers in traditional remittance as well as trading systems and achieve the lowest transferable cost for users (no forex spreads, only service fees).
5.Umbala Network
The Umbala Network aims to create an open camera blockchain platform that connects billions of cameras worldwide to accelerate a variety of decentralized camera business models including video shopping.
6.Lina Network
Lina Network is a multinational company of Smart Links Swiss, with the goal of building an infinite ecosystem on the Crypto platform. The ecosystem’s main coverage areas for assessment, supply chain, healthcare as well as e-government. And now it has been approved for application in Laos and Thailand.
7. Other
Beecast commented that Vietnam’s blockchain technology has shown different development trends, and some projects have begun to landing.
Vietnamese insurance company PTI applies driver and passenger insurance services and Vietnamese repair shop systems on MVL;
Vietnam’s largest telecom operator will become the leading provider of distributed ledger technology services in Vietnam in the next five years;
Companies such as Napas, VBTC, and Cash2vn have also formed blockchain technical teams.
Judging from the current development of blockchain technology, Vietnam lacks professional talents in the field of blockchain technology, and colleges and universities have insufficient research investment in the field of blockchain technology. However, in the development of the underlying technology of the blockchain, Vietnam still has a certain foundation, and the technical projects have been well-known all over the world, such as the TomoChain mentioned above.
— 4 Beecast Summary —
1- More and more foreign project participants are aware of the Vietnamese market and gradually have market planning in Vietnam;
2-Vietnamese community mainly relies on Facebook (and part is Telegram). The main functions of the community are project analysis, OTC transaction, financing, etc., and provide four types of services: financing, fundraising, online promotion, event hosting, community drainage;
3- Projects in Hanoi are superior to Ho Chi Minh projects in terms of scale and strength, Hanoi project + Ho Chi Minh community;
4- China’s economic growth is slowing down. Domestic capital will focus on high-growth areas and enjoy the dividends brought by economic development. After all, they enjoy the high economic returns. The low return will promote capital flow. Southeast Asia has a large population. The growth rate of economy development is high, and both the blockchain and the Internet will move rapidly to Southeast Asia;
5- The development of the Vietnam blockchain is the epitome of various countries in Southeast Asia. Objectively speaking, whether it is the Internet or the blockchain, the proportion of Southeast Asian participating groups has a very important position in the global market. The absolute net value is relatively weak compared to other regions, but the future opportunities in this place are worthwhile expectation.
— 5 Foreign companies have come to Vietnam -
Vietnam is similar to the China mainland in the 1990s or the beginning of the 21st century. We can see it from Vietnam’s per capita GDP, and Vietnam’s population is relatively young, and the average age is around 30. The country’s beliefs are very close to the China mainland, which means that although you will also believe in a Buddha, worship a temple and ask for a visa, but don’t make these things too grand like Thailand.
The economy is developing rapidly, the demographic structure is very young, and there are not too many religious constraints. Such a social group will have a very open attitude towards new things and new technologies. Especially in the case of their domestic capital markets and the financial industry is not developed, digital currency is a very good alternative to financial instruments, and able to meet the investment and speculation needs of the local population. After all, what slogan can attract a group of young people around 30 years old than “change the world and achieve wealth freedom?”
In term of exchange, OKIB considers the top 20 global exchange traffic data. OKIB assigns different weights to each data, and finally can model the top 10 countries listed in the figure below. A score of 100 means that all of the above dimensions are concentrated in one country. Among the developing countries, China, Russia, Brazil, and Vietnam are very high on the list. We can also prove the prosperity of the Vietnamese market from the data level.
In the blockchain and cryptocurrency industries, Vietnam is still a very young market, but very active. During the bear market in 2018, although many investors and miners chose to leave, there are still many investors and project parties who are optimistic about the prospects of this industry. In terms of regulation, the local government issued a draft of the relevant cryptocurrency, but did not express a clear attitude. On the other hand, it also encouraged innovation and development of emerging industries. With the new wave of IEO in 2019, the market is gradually picking up, and more and more practitioners and investors are entering the market. According to statistics, there are currently more than 300,000 digital currency traders and more than 60,000 digital currency mining communities active in the Vietnamese market.
Vietnam’s cryptocurrency market is very active, and our Bibox is also very optimistic about the development of the Vietnamese encryption market. In expanding the Vietnamese market, we have entered the user’s vision through online and offline community word-of-mouth marketing, allowing users to know more about Bibox, and have gained trust in Bibox in the process of understanding. The image of Bibox is also gradually established; offline is mainly to hold a series of community education salons and investor meetings from time to time. The education salon is an investment education for users to understand the future development trend of blockchain technology and cryptocurrency. It helps us to understand the user’s problems as well as needs at a close distance and form a positive interaction with the users.
In Southeast Asian countries, Vietnam is the first place to talk about community activity. Since its launch in December last year, BHEX has been sought by a group of Vietnamese seed users. It has helped us build a core community of more than 200 people in Vietnam. It has also received support from the local community and traditional media. At the beginning of March, BHEX launched the global Guild Master project and selected two Guild Masters from Vietnam to hope them to become the sermonizers of BHEX’s Vietnamese market.
Unlike the markets dominated by traditional financial institutions leaded by Singapore and Hong Kong, Vietnam’s digital currency market is mostly scattered and the participation degree of ordinary investors is extremely strong. In Vietnam, no more than 20% of residents have bank accounts, and the Kochi group is concentrated in the cities of HCMC, Hanoi and Da Nang. These three cities are also the most active gathering place for blockchain technology developers, digital currency traders. And the south or north is where the mines gather (cheap electricity bills).
In addition, Vietnamese digital currency traders are extremely sensitive to the operations and market activities of exchanges on the market, and will quickly collect sounds from effective markets and provide timely feedback. When BHEX launched two innovative assets, Beam and Grin, in January, the Vietnamese market gave a strong first wave of feedback. In order to help different types of digital currency traders to configure their assets, BHEX has launched a series of options trading products that are small and unpopular, stable and steady income management products, and borrowing products that are very popular in Southeast Asia. The BHEX Southeast Asia team is expected to visit Vietnam again in late April to conduct a small-scale meeting with core users to build a core community with consensus.
Vietnam has been following the trend of blockchain since 2017 and is rapidly integrating into the world of encrypted digital currencies. The blockchain practitioners in Hanoi and Ho Chi Minh City are the most active, with more than 90% of the blockchain ecology resident in these two cities. Among them, Ho Chi Minh City is praised as “Shenzhen in Vietnam” by its prosperous economy and the ever-changing urban construction.
Similar to the blockchain market in various countries, Vietnam’s blockchain market activity has changed with the changes of bitcoin price fluctuations. However, it is irresponsible that the current enthusiasm of Vietnamese people for investment in blockchain is still high. Local communities and media organizations are always paying attention to the latest developments in the global blockchain market and bringing industry hot words into the community, such as “IEO”, “STO” and “DEX” are all hot topics of discussion. Since March of this year, the Vietnamese blockchain industry has recovered rapidly, and the number of activities related to the blockchain theme has also increased.
BN Capital Partners has visited Vietnam for many times to establish a close strategic partnership with various eco-farms, such as BigCoin Capital, BitCEO, and BlockAsia. In addition, Pentax Capital is actively promoting its incubation project to expand into the Vietnamese market.
Vietnam is a very dynamic and open country with an average age of 29 years old. China’s blockchain market is now relatively low, and Vietnam is one of the most promising countries in Southeast Asia. According to the survey, the number of newly registered users on the global exchange in 2018 is the highest, and the conversion rate is also the highest, with a per capita transaction of 1 bitcoin. There are at least hundreds of thousands of trading users in the stock market.
The blockchain companies in Vietnam mainly focus on community operations and technology development, mainly pursuing projects in China as well as South Korea, and few local main chain projects. The scale of local exchanges is not large, and at the beginning of development, the media and capital are almost zero. In general, Vietnam has not yet formed a blockchain TOP company, and its development potential is huge.
In the branch office of FUBT in Vietnam, we will bring good projects in Vietnam to China and the world, and we will also dig deep into Vietnamese users. After all, the stock market and incremental market are not small. Because Vietnam’s labor is cheap and the English environment is good, we will use Vietnam as a fulcrum to radiate to the other nine ASEAN countries in advance.
While DOBI is landing in Southeast Asia, it is also fully integrating the national conditions of the local countries. For example, Indonesia and Vietnam have caused serious depreciation of the Indonesian rupiah and the Vietnamese dong because of the financial crisis in the early years, which has caused the Vietnamese people to be keen to invest in real estate or digital currency that is relatively value-for-money or appreciation. In Vietnam, many early digital currency traders experienced personally stolen assets of centralized digital exchanges, early speculation by Ponzi project pits and other trust factors such as asset opacity and centralized management insecurity. Vietnam later Beginning to popularize the very traditional outside trading on the side of the field or the community group to guarantee off-exchange transactions for VND or dollar deposits, as well as coffee shops that support over-the-counter transactions and other gathering points for digital currency enthusiasts.
