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Development Opportunities for Vietnam’s Blockchain Market

Development Opportunities for Vietnam’s Blockchain Market - Created date27/05/2022

The global blockchain market in general and the NFT (Non-Fungible Token – digital asset) segment, in particular, are achieving a record growth rate. Vietnam has emerged as a phenomenon of blockchain in the world, promising to attract more investment capital into this field.

Lots of room for development

The year 2021 marked the success of the global blockchain industry as a record amount of capital flowed into the market. The figure of US$25 billion, an increase of nearly 700% compared to 2020, proved the attraction of blockchain to investors, while many domestic businesses and funds were part of the game.

Vietnam has emerged as a blockchain phenomenon in the world. Of the Top 200 blockchain companies in the world, there are seven companies from Vietnam. Vietnam is also in the group of five leading countries in blockchain technology with the index of acceptance of this new technology five times higher than in the U.S. In particular, according to a recently released report by Markets and Markets research firm, the blockchain-related market in Vietnam is expected to reach a value of nearly US$2.5 billion by 2026, 5 times that of 2021. Therefore, opportunities are opening up for Vietnamese businesses.

Over the past time, not only in the financial sector, blockchain has been applied in many other fields. There is a new wave of traditional businesses that want to apply blockchain technology to many different fields, for example, in the field of E-commerce, typically Tiki and Fado.

In particular, according to many experts in this field, Vietnam is in the midst of a digital transformation process - a step forward with a huge technological element. Some technologies, if applied at the beginning, will create a favorable start for the future process. Currently, each year, Vietnam creates more than two million workers, of which about 300,000-400,000 people graduate from technology majors. This is also a great potential for blockchain development in Vietnam.

Soon to complete the legal basis

At the blockchain conference held at the recent inauguration ceremony of the Vietnam Blockchain Association, Mr. Pham The Truong, Director of NGS Technology Investment Joint Stock Company, said that Vietnam had all the favorable conditions, and would have the opportunity to become a strong blockchain country. However, the biggest barrier to the widespread adoption of blockchain technology is the regulatory corridor.

Also at the recent launch event of the Vietnam Blockchain Association, Deputy Minister of Science and Technology Tran Van Tung said the Ministry would review and complete the legal corridor of the science and technology industry to create favorable conditions for the research and development, and application of Blockchain technology in Vietnam. They would also consider and prioritize resources for researching and developing blockchain technology.

Besides legal issues, human resources is also one of the important pillars to help Vietnam develop into a strong blockchain country. Over the past year, there have been over 4,000 job opportunities for the blockchain industry. These opportunities not only come from big players in traditional industries that are transforming to access blockchain technology like Tiki, Ahamove, etc., but also from other foreign companies investing in Vietnam.

Currently, some organizations like the Vietnam Blockchain Association are aiming to cooperate with a number of schools such as Da Nang University of Architecture, and University of Science and Technology to build methodical and formal training programs for students. However, a blockchain business requires teams of communication, Search Engine Optimization (SEO), and recruitment.

Source: Vietnam Business Forum