Vietnamese regulator warns against using Bitcoin

Vietnam’s Ministry of Electronic Commerce and Information Technology has issued a warning to Vietnamese citizens who engage in investing or buying and selling bitcoin and digital currencies in a statement.

The Department of E-Commerce and Information Technology under the Ministry of Industry and Trade (MOIT) is a regulatory body that manages the e-commerce and IT industries in accordance with laws and regulations.

In a recent press release, the agency warned people not to store or operate virtual currencies, including bitcoin. The warning cited previous bitcoin bans in countries including Russia and Thailand. It also mentioned the financial losses faced by investors in Japan and Hong Kong, presumably referring to the collapse of the Mt. Gox bitcoin exchange.

The press conference also pointed out that the State Bank of Vietnam (SBV) had clearly announced in 2014 that virtual currencies such as Bitcoin are not legal means of payment or settlement in the country, and transactions are not protected by law.

Citing the above factors, the press release concluded by announcing:

Therefore, the Ministry of Commerce and Information Technology advises consumers and investors to be cautious and avoid scams when buying and selling "virtual currencies" or using them to pay for e-commerce transactions.

Following the collapse of the Mt Gox exchange and the rise of Ponzi schemes and other scams, regulators across East Asia have issued public statements warning citizens not to invest or trade in virtual currencies.