How Vietnam’s NDAChain is Shaping the Future of Digital Governance and Sustainability

Vietnam is making headlines in 2025 with the official deployment of a national blockchain infrastructure, positioning itself as a regional leader in the digital transformation of government, public services, and private sector integration. This strategic rollout centers around NDAChain – a next generation, government-backed blockchain network developed by the National Data Association and operated under the Ministry of Public Security. Unlike experimental pilots elsewhere, Vietnam’s deployment is one of the most ambitious state-led blockchain initiatives globally, aiming to serve as the backbone for secure, efficient, and transparent digital governance.

NDAChain operates as a Layer 1, permissioned blockchain, blending both centralized and decentralized design principles. It uses a Proof-of-Authority (PoA) consensus protocol, with its 49 validator nodes run by a coalition of state agencies and prominent corporations, such as SunGroup, Zalo, Masan, MISA, Sovico, and VNVC. This hybrid model enables the government to maintain administrative oversight for regulatory compliance while leveraging blockchain’s transparency and tamper-resistance. Importantly, core blockchain features like smart contracts and digital identity verification are already live, underpinning critical functions in sectors ranging from e-government, finance, and logistics to healthcare and education.

A central pillar of NDAChain’s utility is digital identity. It enables Vietnamese citizens to have a decentralized digital ID, supporting secure e-government transactions, document signing, and data verification across agencies and businesses. Beyond identity, the blockchain is used to facilitate smart legal contracts, digital record-keeping, and streamline public sector workflows. Its architecture supports zero-knowledge proofs to further protect privacy and sensitive data while still allowing essential verification. The platform will be fully integrated with the National Data Center by the end of 2025 and is set for eventual expansion to local governments and universities.

This move is part of a broader national blockchain strategy, officially adopted as government policy in late 2024, with the goal of building the infrastructure, regulatory frameworks, and human capital necessary to embed blockchain across all key economic sectors by 2030. The targets include creating a vibrant blockchain ecosystem, developing at least 20 reputable local blockchain brands, setting up three blockchain innovation centers, and nurturing top-ranked blockchain research and training facilities in the region. The strategy’s importance is underscored by rapid legal developments.

Vietnam’s approach is notably distinct from countries that restrict blockchain to sandboxed pilots or prohibit cryptocurrencies outright. While use of decentralized cryptocurrencies as legal tender remains off-limits, the government is promoting blockchain as the backbone of digital economy, data security, and public services. This is not only a bet on transparency and anti-fraud resilience but also a move toward greater digital sovereignty, mitigating risks of data silos, forgery, and cyberattacks inherent in centralized systems.

By mid-2025, NDAChain’s role is visible in everything from digitizing property records and business registrations to powering secure cross-agency data sharing and healthcare record management. The government’s open collaboration with private industry is encouraging the development of new use-cases, with enterprises able to build and deploy their own smart contracts on the public-private validator-backed platform.

Looking forward, Vietnam’s national blockchain deployment offers a model of how states might balance trust, security, compliance, and innovation within a digital society. Its layered, permissioned structure means the blockchain is robust yet manageable for a nation-state, while new legal frameworks and investment in talent development aim to ensure sustainability and ecosystem growth. As the project scales, it will be a key case study for nations worldwide exploring the next phase of sovereign digital infrastructure powered by blockchain.