The most frequently asked question recently is: "Vietnam has legalized cryptocurrencies, should I now heavily invest?" Every time I encounter this kind of all-or-nothing decision mindset, I want to remind everyone of a detail—Vietnam's recent moves are far from as simple as they seem.

Let's first look at why Vietnam is only now recognizing the legality of digital assets. There are two main reasons on the surface: First, to attract foreign investment. Vietnam's economy has been growing well in recent years, but the appeal of traditional manufacturing has peaked. Cryptocurrencies, as a high-growth sector, can bring in capital and talent; second, to activate the domestic digital economy. Vietnam has a high proportion of young people who are already receptive to digital assets, and legal recognition can stimulate a wave of startups in new sectors like NFTs and blockchain gaming.

However, there's a crucial operational detail to note—Vietnam explicitly bans the use of cryptocurrencies as a means of payment. Why? After El Salvador made Bitcoin legal tender in 2022, the resulting exchange rate volatility nearly destabilized the country's financial system. Vietnam has definitely learned this lesson. If cryptocurrencies replace the national currency in circulation, market fluctuations could directly impact financial stability and lead to runaway inflation risks.

So, Vietnam's logic is quite clear: treat cryptocurrencies as investment assets rather than as circulating currency. This way, they can enjoy the growth dividends of the industry while strictly confining risks within the investment domain. This is not mercy; it's precise risk management.