Is Buying Tether (USDT) Legal in Vietnam?

Vietnamese residents are permitted to buy, sell, and hold Tether (USDT). However, these digital assets are not recognized as legal tender and cannot be used for payments within the country. The State Bank of Vietnam (SBV) has explicitly prohibited the use of cryptocurrencies for transactions.

Local investors are encouraged to select crypto exchanges in Vietnam that uphold strict Anti-Money Laundering (AML) and Know Your Customer (KYC) policies. Choosing regulated platforms helps ensure transactions are secure and legally compliant.

How to Buy USDT in Vietnam

Buying Tether (USDT) in Vietnam is convenient when using trustworthy exchanges like Bybit, known for its ease of use, transparent fees, and strong liquidity in USDT trading pairs.

Bybit facilitates Vietnamese Dong (VND) deposits through bank transfers, credit cards, debit cards, Apple Pay, Google Pay, Samsung Pay and VietQR. Once funds have been credited, users can trade USDT on spot or futures markets with up to 200x leverage.

Follow these straightforward steps to securely purchase USDT on Bybit in Vietnam:

1. Create Account: Navigate to Bybit’s official website and register a personal account. You'll need to provide basic details, such as email address and phone number.
2. Complete Identity Verification: Verify your identity by submitting the required Know Your Customer (KYC) documents, including Vietnamese citizen ID card or passport.
3. Deposit Funds: Log in to your account, go to the "Buy Crypto" section. Here, deposit VND by selecting your preferred payment method.‍
4. Purchase Tether: Once your deposit is confirmed, enter the amount of USDT you want to purchase, confirm transaction details, and complete the trade.

Best Exchanges to Buy USDT in Vietnam

Vietnamese traders looking for secure platforms to purchase Tether (USDT) using VND have several trusted exchanges available. Among the most popular and reputable options are Bybit, Binance, Kraken, and OKX, each providing advanced security measures, transparent fees, and local payment methods.

Below is an overview of these exchanges to assist you in choosing the best option for your needs:

VND to USDT Fees

Vietnamese investors purchasing Tether (USDT) with Vietnamese Dong (VND) should carefully review exchange-specific fees to manage trading costs effectively. Here's an easy-to-follow overview of typical expenses when acquiring USDT in Vietnam:

• Deposit Charges: Depositing VND via bank transfers is typically free. However, card payments can incur costs ranging form 1% to 1.5%, depending on the platform.
• Withdrawal Costs: Withdrawing VND back to your Vietnamese bank account incurs minor fees or is occasionally free. However, crypto withdrawals may incur gas fees.
• Trading Fees: Bybit employs a straightforward fee, charging 0.1% per transaction. Other exchanges like Kraken implement a maker taker structure of 0.16% for makers and 0.26% for takers.

To reduce transaction costs when buying USDT in Vietnam, investors should prioritize local bank transfers and select platforms with transparent fee structures and competitive pricing.

Tax Implications for Tether in Vietnam

In Vietnam, Tether (USDT) is not legally recognized as currency but rather treated as digital assets. While the tax authorities haven't issued a detailed tax framework specifically covering crypto, current regulations imply potential tax liabilities under existing income or investment taxation guidelines.

Profits from selling USDT or other cryptocurrencies may be subject to a capital gains tax of 20%. Income earned through activities like staking, mining, or receiving USDT as payment is considered taxable under personal income tax laws. Rates are progressive, ranging from 5% to 35%, depending on total annual income.

Due to Vietnam's evolving crypto regulatory environment, investors should closely monitor announcements from the General Department of Taxation. Consulting with qualified local tax advisors experienced with digital asset transactions will help mitigate potential legal and tax risks.

About Tether (USDT)

Tether (USDT), a stablecoin pegged to the U.S. dollar, has become a popular digital asset among Vietnamese investors seeking stability in the volatile cryptocurrency market. While Vietnam does not recognize cryptocurrencies as legal tender, trading and holding digital assets like USDT are permitted. 

The Vietnamese government is actively developing a comprehensive regulatory framework to address ownership, anti-money laundering measures, taxation policies, and licensing requirements for crypto operations, with significant developments expected by 2026.

Final Thoughts

Vietnamese investors can confidently buy and manage Tether (USDT), provided they carefully select reputable exchanges like Bybit or Binance, which offer transparent fees and robust compliance. 

To effectively navigate Vietnam’s evolving crypto regulations and avoid unnecessary risks, regularly consult trusted local advisors and remain updated on announcements from financial authorities.