Sun Group backs $38 mln digital asset venture amid regulatory push

Sun Group, a leading property developer in Vietnam, has taken a controlling stake in a newly established digital asset company, positioning itself early in a market that authorities are moving to formally regulate through a pilot framework.

According to business registration filings, Vietnam Digital Asset JSC was set up in January with a charter capital of VND1 trillion ($38.05 million). Ngo Thi Thanh Huyen serves as CEO and legal representative.

Sun Group has contributed VND640 billion ($24.35 million), equivalent to a 64% stake, becoming the largest shareholder. Other investors include ITS Co Ltd with 35% and PetroVietnam Securities with 1%.

The company has registered a wide scope of operations, including brokerage, trading services, and the establishment of a digital asset exchange.

The investment comes as Vietnam accelerates efforts to build a legal framework for digital assets. Authorities are piloting the market over a five-year period, with the Ministry of Finance already accepting applications for digital asset exchange licenses.

A number of financial institutions and technology firms have announced plans to enter the industry, seeking early-mover advantage in what is widely viewed as a high-growth but still nascent market.

Proposed platforms include Vimexchange, Techcom Securities Digital Exchange backed by Techcombank (HoSE: TCB), Vietnam Prosperity Digital Asset Exchange (CAEX) linked to VPBank (HoSE: VPB), VIX Digital Exchange of VIX Securities, and Loc Phat Digital Asset Exchange.

Among these, Vimexchange and CAEX are currently among the few entities meeting the proposed minimum charter capital requirement of VND10 trillion ($380.5 million) to operate an exchange.

With initial capital of VND1 trillion, Vietnam Digital Assets JSC falls short of that threshold, set out under Resolution 5/2025 governing the pilot implementation of the digital asset market.

The requirement, significantly higher than minimum capital levels for commercial banks and far exceeding those in sectors such as aviation, underscores the government’s cautious approach to a volatile asset class.

The State Securities Commission of Vietnam (SSC) says the high capital bar is designed to ensure that exchange operators have sufficient financial capacity to manage trading, settlement and custody functions, as well as to compensate investors in the event of losses.

Deputy Finance Minister Nguyen Duc Chi has said authorities are likely to license more than one exchange to foster competition, though the number of licenses will be capped to maintain market stability and control systemic risks.

An estimated 17 million Vietnamese already trade cryptocurrencies, with an annual digital asset transaction volume estimated at over $100 billion, according to VinaCapital. Transactions take place on offshore exchanges such as Binance, Bybit, and others, in Singapore, South Korea, and Hong Kong.