Related digital asset company VPBank is about to increase its capital to 10,000 billion VND

This plan was announced by Vietnam Prosperity Cryptocurrency Exchange Joint Stock Company (CAEX) on February 25. CAEX capital is expected to increase 400 times the current amount (25 billion VND), to 10,000 billion, to meet the requirements of piloting a crypto-asset exchange.

According to regulations, a company operating a digital asset trading floor must have a minimum capital of VND 10,000 billion. Of which, 35% of capital is held by at least two organizations: banks, securities companies, fund managers, insurance companies or businesses in the technology sector.

CAEX leaders said that the company has prepared enough technological and financial resources to participate in the pilot of providing crypto asset exchange services in Vietnam.

CAEX was established in September last year, with an initial charter capital of 25 billion VND. In the shareholder structure, VPBankS, a subsidiary of VPBank, contributes 2.75 billion VND, equivalent to 11% of charter capital.

CAEX’s largest shareholder is LynkiD Joint Stock Company, owning 50% of the capital. This business operates in the field of e-commerce, develops the point accumulation and gift exchange platform and is the exclusive loyalty partner of VPBank from 2022.

In addition to VPBank, a number of organizations are also preparing to participate in the pilot of the crypto asset exchange. Earlier this year, MB Chairman Luu Trung Thai said that this bank plans to participate in the digital asset market. Securities companies such as LPBS, SSI, VIX or TCBS have also contributed capital to establish specialized legal entities for crypto assets.

Vietnam pilots the crypto asset market for 5 years, according to the Government’s Resolution. From January 20, the Ministry of Finance began receiving applications for a license to establish an exchange. This agency said about 10 securities companies and banks plan to participate in this market when licensed. According to Deputy Minister Nguyen Duc Chi, Vietnam has “more than one floor” to ensure competition, but the number of licenses will be limited to control risks.