Vietnam Introduces National Blockchain for Digitized Identity and Records Management
Vietnam has officially launched NDAChain, a state-managed, permissioned layer-1 blockchain platform, on July 25, 2025. This innovative blockchain platform is designed to modernize digital identity verification and record-keeping across multiple industries, including government, finance, healthcare, education, logistics, and supply chains.
Developed by the National Data Association (NDA) and operated by the Ministry of Public Security’s Data Innovation and Exploitation Center, NDAChain operates on a hybrid model that combines centralized and decentralized features to balance security, efficiency, and scalability.
The consensus mechanism used by NDAChain is Proof-of-Authority (PoA), enhanced with zero-knowledge proofs to ensure regulatory compliance and privacy while enabling fast, secure transactions. The network comprises 49 validator nodes, run by public agencies and major private corporations such as SunGroup, Zalo, Masan, MISA, Sovico, VNVC, reflecting a public-private partnership model.
NDAChain offers core functions that include the ability to enable trusted, tamper-proof digital identity verification via a digital identity system called NDA DID, maintain an immutable, distributed ledger for transactions and smart contracts, and facilitate secure data sharing across sectors with clear audit trails.
One of the user tools provided by NDAChain is the NDAKey app, which allows citizens and businesses to quickly verify their identity online without exposing unnecessary personal data. This app is expected to be a game-changer in digital identity verification, offering speed and security.
In addition to digital identity verification, NDAChain also supports Vietnam's national platform for product tracking, NDATrace. Each item on NDATrace is assigned a unique digital ID that meets international standards, ensuring traceability and accountability.
NDAChain is expected to address problems with older, centralized systems, such as being easy to hack, hard to scale, and difficult to connect with global platforms. With a capacity to handle up to 3,600 transactions per second, NDAChain offers both speed and reliability.
The Ministry of Public Security will oversee the operation of NDAChain, positioning it as the backbone for Vietnam’s digital infrastructure. The platform seeks to establish a "decentralized layer of trust" while maintaining regulatory compliance and performance demands.
In a related development, Deputy Finance Minister Nguyen Duc Chi announced plans to introduce a proposal for a government-backed digital asset and crypto trading platform. This move further solidifies Vietnam's commitment to embracing blockchain technology and digital assets in its national infrastructure.
In summary, NDAChain currently serves as Vietnam’s national blockchain foundation for digital identity, governance, and secure record management across industries, reflecting a strategic government initiative to enhance data integrity, privacy, and interoperability in the digital era.
Finance and technology are integral parts of the strategic government initiative in Vietnam, as NDAChain serves as a national blockchain foundation for digital identity, governance, and secure record management. The Deputy Finance Minister, Nguyen Duc Chi, announced plans for a government-backed digital asset and crypto trading platform, further solidifying Vietnam's commitment to embracing blockchain technology and digital assets in its national infrastructure.
