Blockchain and NFT Market Research in Vietnam

Blockchain and NFT Market Research in Vietnam

basic introduction

https://zh.wikipedia.org/wiki/%E8%B6%8A%E5%8D%97

• Language and characters: Vietnamese, the characters are mainly Mandarin Chinese (Vietnamese Roman characters), Hannang (Chinese characters)

• Currency: Vietnamese Dong

• Population (2022): 99.1 million, ranking 15th in the world,

  • Urban Population: 38.05%( 3765万)
  • Rural Population: 61.95%( 6144万)

• City:

  • Ho Chi Minh City: 899万Population
  • Kawachi (Capital): 800万Population
  • Dan (same as "present") Port: 113万Population
  • Haiphong: 84万Population

• economy

  • GDP: US$391.6 billion, ranking 35th in the world
  • GDP per capita: US$4,121, ranking 121 in the world
  • The world's second largest rice exporter (the first is Thailand)
  • Electronic products have become Vietnam's largest export product, and the export volume of textiles and clothing ranks second in the country
  • 2022 Economic Data:
    • 
      Vietnam’s GDP growth rate in 2022 will be 8.02%, the highest in 10 years vietnam-gdp.jpeg)]
    • Agriculture and fisheries growth 3.85%, % of GDP11.88%
    • Industrial construction industry growth 4.22%, accounting for GDP38.26%
    • Services growth 9.99%, % of GDP41.33%
    • Per capita GDP is 9560万VND (approximately US$4110), a year-on-year increase10.5%
    • Per capita monthly income increased to 460万VND ( 194USD), up year-on-year9.5%
    • unemployment rate:3.3%
    • The domestic inflation rate is only3.15%

• history:

  • "Reform and Opening" in 1986 (following China's Reform and Opening):
  • Established a socialist market economy in 2001
  • Joined WTO in 2007

Development of mobile Internet

https://datareportal.com/reports/digital-2022-vietnam

• Internet Penetration Rate:73.2%
• Mobile Internet Penetration Rate:72.1%
• Social Media Usage: 78.1%

digital economy

https://www.investgo.cn/article/gb/tzsj/202302/655597.html

• "Vietnam E-commerce White Paper": 74.8% of Internet users in Vietnam shop online
• With an average annual growth rate of 20% , Vietnam was rated as the top 5 countries in the global e-commerce growth by eMaketer, a world-renowned market research institution.
• In 2022, the scale of Vietnam's digital economy is 23 billion US dollars, and the e-commerce field will account for 14 billion US dollars. When Vietnam's digital economy scale reaches 49 billion US dollars in 2025 , the e-commerce field will account for 32 billion US dollars.

Local e-commerce platform:

• (E-commerce) Tikivn - https://tiki.vn/ve-xem-show-dien-tu-c2628

payment method

https://www.thestar.com.my/business/business-news/2023/02/07/e-wallet-market-in-vietnam-may-reach-50-million-users-by-2024

• Momo, Moca, ZaloPay take 90%market share

• ShopeePay (AirPay), ViettelPay, VNPT Pay occupy 9%market share

• The above 6 types of e-wallet payment occupy 99%the market share

• 2021Proportion of Vietnamese population who used e-wallets by the end of the year:

  • 56%used Momo, over 230010,000 users
  • 17%usedShopee Pay
  • 14%usedZalo Pay
  • 8%usedViettelPay
  • 2%usedMoca
  • 1%usedVNPT Pay

• E-wallet usage has grown over the past 4 years330%

  • 2018 is14%
  • end of 2022 is57%

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https://www.adyen.com/zh_CN/payment-methods-guides/asia-pacific/vietnam

• 70% of Vietnamese do not have bank accounts
• 31%Market Share of Credit Card Payments

Ticketing (Concert)

https://www.similarweb.com/top-websites/vietnam/e-commerce-and-shopping/tickets/

• https://www.eventbrite.com/d/vietnam/events/
• https://ra.co/events/vn/all
• https://ticketbox.vn/
• https://ticketgo.vn/
• Sports related ticketing: https://actiup.net/

KPop concerts in Vietnam in recent years

• 2020.11.01 EXO-SC held a concert in Hanoi

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• December 2022 Hanoi K-pop groups Momoland, BLANK2Y and Lapillus : https://e.vnexpress.net/news/culture/k-pop-groups-to-perform-at-hanoi-korean-cultural-festival-this -weekend-4547494.html

Music performance market comparison (Thailand, Indonesia, Vietnam)

• Thailand: https://www.statista.com/outlook/dmo/eservices/event-tickets/music-events/thailand#revenue

  • Revenue in the Music Events segment is projected to reach US$112.80m in 2023.
  • Revenue is expected to show an annual growth rate (CAGR 2023-2027) of 3.63%, resulting in a projected market volume of US$130.10m by 2027.
  • In the Music Events segment, the number of users is expected to amount to 2.90m users by 2027.
  • User penetration will be 4.0% in 2023 and is expected to hit 4.1% by 2027.
  • The average revenue per user (ARPU) is expected to amount to US$40.60.

• Indonesia: https://www.statista.com/outlook/dmo/eservices/event-tickets/music-events/indonesia

  • Revenue in the Music Events segment is projected to reach US$58.14m in 2023.
  • Revenue is expected to show an annual growth rate (CAGR 2023-2027) of 3.13%, resulting in a projected market volume of US$65.78m by 2027.
  • In the Music Events segment, the number of users is expected to amount to 6.01m users by 2027.
  • User penetration will be 2.0% in 2023 and is expected to hit 2.1% by 2027.
  • The average revenue per user (ARPU) is expected to amount to US$10.12.

• Vietnam: https://www.statista.com/outlook/dmo/eservices/event-tickets/music-events/vietnam

  • Revenue in the Music Events segment is projected to reach US$35.40m in 2023.
  • Revenue is expected to show an annual growth rate (CAGR 2023-2027) of 3.95%, resulting in a projected market volume of US$41.34m by 2027.
  • In the Music Events segment, the number of users is expected to amount to 2.75m users by 2027.
  • User penetration will be 2.6% in 2023 and is expected to hit 2.7% by 2027.

visualization

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social media

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Public attitudes towards blockchain and NFT

• The total number of NFT users in Vietnam ranks fifth in the world . The former real names are: Thailand (5.65 million), Brazil (4.99 million), the United States (3.81 million), China (2.68 million), Vietnam (2.19 million), India ( 1.5 million), Canada (1.4 million), Indonesia (1.25 million), Germany (1.23 million), South Africa (1.23 million)

• According to Finder's online survey, which surveyed 28,723 adults, 17.4% of Vietnamese respondents held NFT . Philippines (32%), Thailand (26.6%), Malaysia (23.9%), United Arab Emirates (23.4%), Vietnam (17.%), Nigeria (13.7%), Brazil (12.1%)

• According to agency forecasts, by 2026, the output value of Vietnam's blockchain-related industries will reach US$2.5 billion, which is five times higher than it is now.

• More than 50% 68%of respondents indicated that the value of NFTs will increase in the next 5 years

  As of 2021, people in 6 Southeast Asian countries expect the value of NFT in the next 5 years:

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  Among them, blue means: the value of NFT will be higher, and black means: the value of NFT will be sideways or lower

Image source: https://www.statista.com/statistics/1292111/sea-nft-value-expectations-by-country/

Local blockchain companies and entrepreneurial projects

• Public chain (NFT direction):

  • Aura, a public chain based on the Cosmos ecology, focuses on the NFT field
  • https://aura.network/
  • https://github.com/aura-nw
  • https://twitter.com/AuraNetworkHQ

• NFT game, ASPO World, a strategic thinking game based on BSC, with NFT transactions in the game:

  • https://aspo.world/
  • https://twitter.com/AspoWorld

• NFT games, Poriverse, similar to ASPO World, are also blockchain games in the NFT Play-to-Earn mode,

  • https://linktr.ee/poriverse

National policies and regulations

• At present, there are almost no NFT-related laws and regulations in Vietnam , so NFT transactions are not legally protected

• Vietnamese government is formulating legal policies for cryptocurrency regulation

• Vietnam currently has no clear law regulating cryptocurrencies

investment data

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Further reading:

• Vietnamese scholar: From the ups and downs of the electronics industry to see the pain of "Made in Vietnam"

  • In the electronics industry, multinational companies seldom transfer technology to domestic suppliers, and domestic companies have been stuck at the low end of the value chain.
  • The Vietnamese electronics industry took 20 years (1996-2016). Twenty years later, Vietnam's electronics industry is still far from entering the stage of improvement.
  • Governments offer favorable treatment to MNEs without forcing them to take responsibility for engaging domestic firms in GVCs.
  • Due to the decentralization of investment permits, Vietnam's central government has little say in local decision-making. Decentralization has led to competition among provinces for FDI, thereby weakening local government oversight of TNCs' fulfillment of their obligations. Therefore, the development of Vietnam's electronics industry has not achieved the expected results, and the policy formulation background and implementation process have limited the development of the industry.
  • In terms of supporting industrial development and integration into global production networks, the Vietnamese government lacks a substantive policy support framework, and the public and private sectors lack cooperation in decision-making and implementation.
  • The government enacts direct rents to foreign companies with conditions attached, but there is no clear enforcement mechanism to monitor foreign investors' performance.
  • The incentives provided by the government are asymmetrical, with foreign companies receiving many incentives while local SMEs are not being treated accordingly.
  • In order to supply global companies, local companies have to meet higher standards, which requires more capital and skilled labor. At the same time, the small size of local private enterprises makes it difficult for them to compete with foreign or state-owned enterprises in attracting capital investment and skilled labor. It will be difficult for them to do this without government support.
  • The industry is still dominated by foreign companies, while domestic companies have limited technological development
  • FDI does not automatically enhance the host country's technological capabilities, and openness to foreign technology and sound institutions are insufficient to promote economic transformation and sustained growth in the absence of the necessary policy frameworks to constrain the foreign-invested sector. Governments need to shift their focus from one-off selection of winners (sectors, industries, firms, and other organizations) to detecting and correcting errors in selection. The solution is, through various public-private partnerships, to devise a mechanism by which mistakes can be detected and corrected.
  • Thailand and Malaysia, when they joined the WTO, were required to ban the formal use of the Local Content Requirement (LCR) from the early 2000s, but they cleverly introduced the LCR indirectly. The Malaysian government uses tax incentives to encourage multinational companies to invest in training domestic employees. These companies can make new investments to upgrade their training equipment or expand their training capacity, as companies providing technical and vocational training are eligible for a 100% investment tax credit for 10 years.
  • Market and trade liberalization reforms by themselves have not brought about the expected technological upgrades for domestic firms in Vietnam's electronics industry

• Which country, India, Vietnam or Mexico, is really challenging China's status as the world's factory?

  • Vietnam has a population of less than 100 million and a limited economy
  • The hinterland of economic development is relatively narrow, restricting its development space
  • Vietnam's industrial sectors are uneven, with a preference for light industry and a lack of heavy and chemical industry capabilities
  • Vietnam is severely lacking in local world-class enterprises. As of 2021, Vietnam has no Fortune 500 companies of its own, while India has 7 and China has 143. This means that while facing the influx of foreign-funded enterprises, Vietnam lacks the external spillover capacity to undertake foreign enterprises. Under such circumstances, the influx of foreign-funded enterprises may actually inhibit the growth of Vietnamese local enterprises.
  • And in fact, a considerable part of the FDI received by Vietnam comes from mainland China, which also means that the interdependence of the supply chain between Vietnam and China has actually strengthened.
  • China's large exports and huge surplus to Vietnam also show that Vietnam is more like an important buffer zone between China and the United States, rather than replacing China's role as the world's factory.
  • In the future, Vietnam is more likely to form a pattern dominated by foreign-funded enterprises.