On January 1, 2026, Vietnam will begin taxing every crypto trade at 0.1% - no exceptions. It doesn’t matter if you made a profit or lost money. If you bought, sold, or swapped Bitcoin, Ethereum, or any other digital asset, the government takes 0.1% of the total trade value. That’s not a tax on gains. That’s a tax on the transaction itself. And it’s going to change how people trade in Vietnam.
Why Vietnam Is Doing This
Vietnam isn’t trying to punish crypto traders. It’s trying to catch up. The country has over 17 million crypto owners - that’s nearly 17% of the population. People are trading billions daily on international platforms like Binance and Bybit. But until now, the government had no way to track or tax those transactions. With the new Digital Technology Industry Law taking effect in January 2026, Vietnam is finally bringing crypto into its official tax system.The goal? Generate revenue. The Ministry of Finance estimates this 0.1% tax could bring in over $800 million a year. That’s not small change. It’s more than what Vietnam collects from some major industries. And it’s not just about money. The government wants to bring order to a market that’s been running wild. No more anonymous trading. No more tax evasion. Every trade leaves a digital trail - and now, a tax receipt.
How the Tax Actually Works
Let’s say you buy $10,000 worth of Bitcoin. Then you sell it for $11,000. You made $1,000 profit. Under the new rules:- You pay 0.1% on the $10,000 buy - that’s $10
- You pay 0.1% on the $11,000 sell - that’s $11
- Total tax: $21
It doesn’t matter that you only made $1,000. You still pay $21. And if you trade 10 times a day? That’s $210 in taxes just on trading fees - even if you break even on every trade.
This is different from how most countries tax crypto. The U.S. taxes capital gains. The U.K. taxes profits. Vietnam taxes volume. It’s like charging a toll every time you drive on a highway - whether you’re going to work or just circling the block.
Who’s Affected - And How
The tax hits everyone:- Retail traders: If you buy and sell occasionally, $21 a month might not hurt. But if you’re active, it adds up fast.
- High-frequency traders: These are the traders who make tiny profits on hundreds of trades a day. Their profit margin is often 0.01% to 0.05% per trade. A 0.1% tax wipes out their entire business model. Many may stop trading in Vietnam altogether.
- Exchanges: Binance and Bybit have already warned the government that this tax could reduce market liquidity. If market makers pull out, spreads widen. That means you pay more to buy and get less when you sell.
There’s one small relief: the first 10 million VND ($400) in annual crypto gains are tax-free. But that only helps if you’re holding and selling - not trading constantly.
Other Taxes You Can’t Ignore
The 0.1% transaction tax is just one piece. Vietnam’s full crypto tax system includes:- 20% capital gains tax on crypto-to-fiat sales (after the $400 exemption)
- 5% to 35% income tax on mining, staking, and airdrops - based on your personal income bracket
- 20% corporate tax for businesses running crypto services
- 10% VAT on exchange service fees
So if you’re mining Ethereum and selling it for USD, you pay VAT on the exchange fee, income tax on the mining reward, and the 0.1% tax on every trade. That’s three layers of taxation on one activity.
What Exchanges Are Saying
Binance didn’t stay quiet. On October 1, 2025, they sent a formal letter to Vietnam’s Ministry of Finance. Their warning? The tax will make trading unprofitable for market makers - the players who keep prices stable and orders flowing.Market makers earn about 0.01% per trade. A 0.1% tax is ten times their profit. If they can’t make money, they leave. And when they leave, the market gets thinner. That means:
- Wider spreads - you pay more to buy, get less to sell
- Slower order fills - your trades take longer
- More volatility - prices swing harder with less liquidity
That’s not just bad for traders. It’s bad for Vietnam’s goal to become a regional crypto hub.
Reporting and Penalties
You can’t avoid this. The General Department of Taxation is requiring:- Individuals: File annual crypto reports by March 31
- Businesses: File quarterly reports
Failure to report? Fines start at 2 million VND ($80) or 2% of unpaid taxes - whichever is higher. Repeat offenses? Higher penalties. The government is already working with exchanges to get transaction data directly. They’re not waiting for you to file voluntarily.
What’s Next? The Pilot Program
The government isn’t rolling this out fully on January 1. They’re starting with a pilot program - small, controlled, and monitored. Think of it as a test run. They’ll watch how trading volumes change, how exchanges react, and whether people move their crypto overseas.There are talks of incentives too:
- 10% corporate tax break for crypto exchanges for the first five years
- VAT exemptions for crypto trades to boost liquidity
- Possible 5-10% tax on NFT sales
These aren’t promises. They’re options on the table. The pilot will decide what stays.
Is This a Good Move?
Some experts say yes. Dr. Chu Thanh Tuan from RMIT University says Vietnam’s approach mirrors how it taxes stocks - fair, simple, and hard to evade. It’s a smart way to capture revenue from a growing market.Others say no. The tax ignores how crypto markets actually work. It treats every trade like a speculative gamble, not a liquidity tool. It punishes the very people who keep prices stable.
The real test? Will Vietnam become a crypto hub - or will traders flee to Thailand, Singapore, or the UAE, where taxes are lower and rules are clearer?
What Should You Do?
If you’re trading in Vietnam:- Track every trade. Use a crypto tax tool. Don’t rely on exchange statements.
- Don’t assume you’re safe. The government will get your data from exchanges - even if you use a non-Vietnamese platform.
- Consider your strategy. If you’re a high-frequency trader, this tax may force you out. Adjust now.
- Watch for changes. The pilot program could lead to adjustments. Stay informed.
This isn’t a temporary policy. It’s the start of Vietnam’s digital economy tax regime. The 0.1% tax is just the first step. More taxes, more reporting, more oversight will follow. The question isn’t whether you’ll pay - it’s how much you’ll pay, and whether you’ll still want to trade here.
Is the 0.1% crypto tax in Vietnam on profits or total trade value?
It’s on the total trade value, not profit. Whether you make $1 or $10,000 on a trade, you pay 0.1% of the full amount. For example, buying $5,000 of Bitcoin costs $5 in tax. Selling it for $5,500 costs another $5.50 - even if you only made $500.
Do I have to pay this tax if I trade on Binance or another foreign exchange?
Yes. Vietnam’s tax law applies to its residents regardless of where they trade. The government is working with international exchanges to get transaction data directly. Even if you use a foreign platform, you’re still required to report and pay.
What happens if I don’t report my crypto trades?
You face fines starting at 2 million VND ($80) or 2% of unpaid taxes, whichever is higher. Repeat offenses lead to higher penalties. The government is already receiving transaction data from exchanges, so hiding trades is risky and increasingly impossible.
Are there any crypto tax exemptions in Vietnam?
Yes. The first 10 million VND ($400) in annual crypto gains are exempt from capital gains tax. But this doesn’t apply to the 0.1% transaction tax - that applies to every trade, no matter how small.
Will this tax make crypto trading unprofitable in Vietnam?
For high-frequency and market-making traders, yes. Their profit margins are often below 0.1%, so the tax wipes out their earnings. Retail traders making a few trades a month won’t feel it as much. But overall, liquidity could drop, making trades harder and more expensive for everyone.
When does the 0.1% crypto tax officially start?
The legal foundation takes effect on January 1, 2026, alongside the Digital Technology Industry Law. However, a pilot program will begin first, allowing the government to test the system and make adjustments before full enforcement.
How does Vietnam’s crypto tax compare to other countries?
Most countries tax crypto profits, not trades. The U.S., U.K., and Canada tax capital gains. Vietnam is one of the first to tax every transaction by gross value - similar to how it taxes stock trades. This makes it more aggressive and harder to avoid, but also riskier for market liquidity.
