Blockchain has moved beyond buzzword status in Vietnam’s financial sector. From being a line item in innovation strategies, it has now adapted into becoming the engine behind a smarter, faster, and more inclusive banking ecosystem. In a country sprinting toward a digital future, blockchain adoption in banks is quietly rewriting the rules of engagement.
Why Vietnam’s Banks Are Betting on Blockchain?
Vietnam is embracing blockchain to address key pain points in its financial system. The country’s push for digital banking is supported by blockchain’s capacity to reduce costs, speed up transactions, and boost transparency.
- Faster cross-border payments: Vietnam received approximately $16 billion in remittances in 2024, highlighting the urgent need for more efficient international transactions. Blockchain facilitates this by reducing intermediaries and transaction times.
- Streamlined KYC processes: Blockchain enables secure, decentralised identity verification, reducing time-consuming paperwork for both banks and customers.
With SMEs employing 47% of Vietnam’s labour force , blockchain’s ability to automate trade documentation helps banks accelerate processes and lower risks in this vital sector. It’s role in these areas is crucial as Vietnam looks to enhance efficiency and expand access to financial services.
Green Light on the Rules, Regulations and Readiness
Vietnam’s regulatory framework is evolving to support blockchain in banking, creating a conducive environment for innovation and collaboration.
- SBV support: The State Bank of Vietnam (SBV) has started exploring blockchain for interbank settlements as part of its broader Digital Transformation Strategy.
- Tech-savvy population: Vietnam’s growing digital literacy and mobile penetration offer a ready market for blockchain-based solutions, easing adoption across all customer segments.
Vietnam is well-positioned to see a wave of blockchain innovations, with both the government and fintech actively driving the transformation.
The Early Bird Advantage of Blockchain Technology
Blockchain adoption is not just about staying current; it’s about leading the charge in shaping the future of banking. Banks and fintech that act now have the opportunity to build strong foundations for tomorrow.
- Tailored infrastructure: Early blockchain adopters can develop bespoke systems that integrate seamlessly into existing processes, giving them a competitive edge in the long run.
- Customer trust: Implementing blockchain in KYC and payments enhances transparency, building greater trust with customers.
- Operational efficiency: The ability to streamline processes, such as loan disbursements and trade finance means lower operational costs and faster service delivery.
For banks and fintech in Vietnam, acting now on blockchain offers a chance to set the pace for the market, shaping both customer expectations and operational standards.
The Final Block to Transformation
Blockchain technology marks a strategic pivot in the Vietnamese fintech sector. By enhancing cross-border transactions, digitising identity checks, and simplifying trade finance, it’s becoming a pillar of digital banking in Vietnam. With growing regulatory support and a surge in fintech-bank alliances, blockchain adoption in banks is gaining real momentum.
At Clayfin, we empower financial institutions to stay ahead with digital banking solutions that are secure, scalable, and built for what’s next. From intuitive interfaces to seamless integration with next-gen tech, our platforms are designed to meet the evolving expectations of both banks and their customers.
