Web3 In Vietnam: Overcoming Challenges Beyond Borders | Vietcetera
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Jan 02, 2025
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Web3 In Vietnam: Overcoming Challenges Beyond Borders

How are the Vietnamese government and industry leaders like Ninety Eight ensuring Vietnam’s place in the competitive Web3 landscape?
Web3 In Vietnam: Overcoming Challenges Beyond Borders

Source: Shutterstock

Web3 – The Future Of Technology

Web3, an evolution of the current internet (Web 2.0), is a decentralized framework built on blockchain technology. It offers transparency for transactions and data storage while enhancing security through advanced encryption mechanisms, reducing the risk of hacking and data loss.

The technology also facilitates the rise of decentralized applications (dApps), decentralized finance (DeFi), and digital assets such as NFTs, unlocking a vast digital economy with unlimited potential.

With applications across finance, education, healthcare, and the metaverse, Web3 is reshaping how we interact online, driving innovation, and establishing itself as a cornerstone of technological advancement.

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Source: Shutterstock

Vietnam: A Rising Hub For Web3 Innovation

Vietnam embraced Web3 early, with startups like Kyber Network and Axie Infinity gaining global attention as early as 2017. Axie Infinity, with its revolutionary "Play-to-Earn" model, became a global sensation. Despite its early promise, Web3 initially faced skepticism, dismissed by many as an overhyped concept.

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Axie Infinity, launched in 2018, is a Web3 game inspired by the world of Pokémon. | Source: Axie Infinity

Over time, however, Vietnam’s Web3 market has matured. Vietnamese youth, in particular, have demonstrated remarkable adaptability to emerging trends such as DeFi and NFTs. The nation now ranks 3rd globally in cryptocurrency adoption, 7th in cryptocurrency ownership, and is among the top 30 countries with the highest rates of crypto asset adoption.

The government is actively fostering blockchain and Web3 development, with initiatives such as Decision No. 1236/QĐ-TTg, announcing the National Strategy for Blockchain Application and Development up to 2025, with a vision to 2030.

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Deputy Prime Minister Hồ Đức Phớc signed and issued Decision No. 1236/QD/TTg, announcing the National Strategy for Blockchain Application and Development up to 2025, with a vision to 2030. | Source: chinhphu.vn

The recent establishment of the Ho Chi Minh City Blockchain Association (HBA) further underscores the country’s commitment to digital transformation, providing a robust foundation for advancing decentralized technologies.

Challenges At Home And Abroad

Despite its promise, Vietnam faces several challenges in realizing its Web3 potential. These include gaps in regulatory frameworks, limited public awareness, and a shortage of skilled professionals with expertise in Web3 technologies.

Externally, Vietnam must contend with strong competition from countries like Singapore and South Korea, both of which benefit from extensive government support for blockchain and Web3 advancements. To remain competitive, Vietnam must prioritize public-private collaboration to refine regulations, create impactful Web3 solutions, and address pressing challenges in sectors such as finance, healthcare, education, and commerce.

Furthermore, corporations can act as strategic investors, offering funding and mentorship to Web3 startups, connecting them with global networks, and helping them scale sustainably.

Ninety Eight: Pioneering Web3 Innovation

As a trailblazer in blockchain technology, Ninety Eight has spent over seven years bringing Web3 closer to Vietnamese communities.

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Nguyễn Thế Vinh - CEO and co-founder at Ninety Eight. | Source: Ninety Eight

The company focuses on developing decentralized finance (DeFi) products with a multi-chain and cross-chain approach, making Web3 more accessible, secure, and user-friendly. Its flagship products, including Coin98 Wallet, Viction (a Layer 1 blockchain), and Dagora (an NFT marketplace), have earned international acclaim for their innovation and practicality, reinforcing Ninety Eight’s reputation in the global tech ecosystem.

Empowering Web3 Startups In Asia

Ninety Eight has made significant contributions to Vietnam’s blockchain startup ecosystem. The company’s $25 million Ecosystem Fund provides financial and strategic support to Web3 startups.

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Ninety Eight launched its $25 million Ecosystem Development Fund at The One event. | Source: Ninety Eight

Through its Kompass Accelerator program, Ninety Eight offers startups mentorship and up to $125,000 in investment, enabling them to connect with international partners, refine their ideas, and grow sustainably.

Building Awareness And Education

Understanding the importance of education in cultivating a thriving Web3 ecosystem, Ninety Eight has launched the Ninety Eight Scholarship program, with a total value of 1 billion VND. These scholarships, awarded to students in Ho Chi Minh City, aim to bridge the gap between talented youth and emerging blockchain technologies.

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Students awarded the Ninety Eight Scholarship. | Source: Ninety Eight

Co-founder Lê Thanh reflected: "Throughout our journey, we’ve learned invaluable lessons about what works and what needs improvement.

Today, our blockchain solutions meet international standards. We’re committed to sharing this knowledge with the next generation, empowering Vietnamese startups to compete not just locally but on the global stage."


Disclaimer:

Vietnamese law does not provide clear regulations or guidance on blockchain technology, Web3, and related applications. Participants are therefore advised to excercise due dilligence and conduct thorough research prior to engaging in any investment activities. This communication should not be construed as finiancial advice.

For further information, please refer to Ninety Eight's terms of use and risks warning.