Vietnam confirms suspension of imports of cryptocurrency mining equipment

Ho Chi Minh City (HCM) Customs said that domestic companies and individuals have completely stopped importing cryptocurrency mining equipment since early July, Vietnam News reported on Monday.

Officials in Ho Chi Minh City, Vietnam's largest city, said individuals and companies had imported as many as 3,664 application-specific integrated circuit (ASIC) devices in the first half of 2018. Vietnamese authorities said four companies engaged in mining operations imported 3,000 machines, while the rest were imported by individuals and organizations not included in the import tax law. Most of the devices were revealed to be Antminers, a cryptocurrency mining device developed by industry giant Bitmain.

As previously reported by 8btc, Vietnam’s Ministry of Finance (MoF) first proposed a blanket ban in June after authorities stepped up scrutiny of the domestic cryptocurrency industry following a nationwide ICO scam that reportedly bilked 32,000 Vietnamese investors of around $660 million. The incident led the Vietnamese prime minister to order six government departments, the police, and the central bank to investigate the scam.

As a result, Vietnam’s Ministry of Finance said it “required state management agencies to take strict control measures when importing and using such (cryptocurrency mining) commodities,” which ultimately led to the proposal for a ban. In July, Vietnam’s central bank, the State Bank of Vietnam (SBV), agreed to the Ministry of Finance’s proposal and supported the ban.

According to Vietnamese customs data, approximately 9,300 ASIC devices were imported into Vietnam in 2017, mainly in Ho Chi Minh City and Hanoi.

As it stands, cryptocurrencies are considered illegal means of payment in Vietnam, as the central bank refuses to include them outside of recognized non-cash payment methods, including checks, payment orders and bank cards. The law, which came into effect in early 2018, prohibits the issuance and use of Bitcoin and other cryptocurrencies as legal tender, while criminal prosecution can be brought against cryptocurrency users and fines of up to $9,000 can be imposed.