I recently discovered an interesting thing about how Vietnam is approaching blockchain technology. Since the beginning of this year, Da Nang has officially allowed the trial of a solution called MIMO — the first licensed mechanism for converting between USDT and VND here. I want to share what I’ve learned because it’s quite different from what you usually see on regular exchanges.

What is MIMO? Simply put, it is an intermediary technology developed by Dragon Lab that allows you to legally convert between stablecoin USDT (worth $1.00) and the Vietnamese dong. The cool part is that it operates in a non-custodial model, meaning your money is never held by MIMO. Your crypto wallet still belongs to you, as does your bank account; MIMO only acts as a connector and verifier.

The major difference compared to traditional P2P transactions is safety. MIMO uses blockchain analysis tools to verify the “cleanliness” of your wallet, ensuring it’s not involved in money laundering or illegal activities. The exchange rate is referenced from major exchanges, fixed for 15 minutes to avoid volatility. All transactions are recorded and reported to the authorities.

The usage process is also quite straightforward. You download the app, complete eKYC using your ID card or passport, link your crypto wallet and bank account, then you can start converting. If you want to deposit USDT, you transfer VND according to the instructions, and USDT will automatically arrive in your wallet. The reverse process is the same. The entire process usually takes just a few minutes.

But there are a few points to note. Currently, MIMO only operates at three locations in Da Nang and has not expanded nationwide. The basic transaction fee is 2.5%, although there is a 0.3% promotion during the trial phase. The eKYC requirements are also quite strict, so if your wallet has a complicated history, you might face difficulties.

Overall, what is MIMO if not a significant step for Vietnam toward legalizing crypto? This is a sandbox trial until 2028, but it opens up the possibility of nationwide expansion in the future. I think this is a positive signal for the Vietnamese crypto community, even though there are still many limitations. If you’re in Da Nang and want to experience it, you can learn more on their official website.