Over the years, international investors have flocked to Vietnam and established investment funds specialising in blockchain. According to a Finder report, capital inflows into NFT assets will also skyrocket from US$37 million to US$4.8 billion in 2021.

According to experts, the reason is that Vietnam has about 5.9 million people, or 6.1 per cent of the population, who have had contact with assets applying blockchain technology such as cryptocurrencies or NFTs.

This number is predicted to increase 30 times by 2030 and make this market profitable. Vietnam, along with India, Pakistan, and Ukraine, is also among the top countries with the most significant cryptocurrency adoption rate in the world in 2021, according to data from Chainalysis.

Web3 and expectations of a global data revolution

Mr. Hung Dinh, CEO of RADA (Blockchain Investment Community), who has 15 years of experience in the field of technology startups on the Web2 platform, affirmed that the Web2 market was too crowded when the technology giants like Google, Facebook and Amazon have almost monopolised the market.

Therefore, CEO Hung Dinh has decided to put all his efforts into Web3 for more than a year, and he is not the only one. Appota Group, a provider of solutions and platforms for the digital entertainment industry in Vietnam with more than 50 million users globally, is also in the process of transitioning to Web3.

Mr. Jason Tran, Co-Founder of Appota Group and CEO of AceStarter Launchpad said, “Only one of my 10 friends knows about blockchain. This field is still new and has many opportunities for Vietnamese developers. South reaches out to the international market.”

Vietnam has many conditions for Web3 development

Many Vietnamese startups have seized the opportunity and made their mark in the world, such as Axie Infinity, Kyber Network or Coin98. Mr Jason Tran believes that the success stories of these projects have created a significant incentive for Vietnamese developers to participate in the Web3 market. Notably, in just the last six months of 2021, domestic projects have raised a total of more than US$500 million.

Also Read: To leverage Web3 technologies, Web2 companies may start by building the right culture

From the perspective of the investment fund, Mr. James Wo, Founder and CEO of DFG fund, emphasized that the founding and development team is the key factor determining the success of a Web3 project.

“With a community of talented programmers and a keen eye for new technologies, Vietnam is very likely to become an innovation hub in Southeast Asia or even around the world in the next growth spurt of the world’s blockchain market,” said Joanna Liang, Co-Founder and CEO of Jsquare Investment Fund.

Regarding the development potential of Web3 in Vietnam, Prince Heinrich Donatus, a descendant of the German Royal Family, once commented at a talk show called “The Next Power” at the end of July 2022 that developing countries like Vietnam The South has a much greater opportunity than Western countries in terms of Web3 technology.

According to him, Western countries with too solid infrastructure inadvertently become barriers to the implementation of new things. Meanwhile, countries like Vietnam have the opportunity to leapfrog and ignore the development steps of the West, even surpassing them.

According to experts, Vietnam is currently in the top 10 for outsourcing and sixth for programming skills worldwide. This proves that the domestic development team has the capacity and good enough background to go further in the technology field, specifically Web3.

Major blockchain ecosystems such as Solana, NEAR, and Polkadot have all expressed a deep interest in the community of talented programmers with strengths in building and developing end-user applications.

SubWallet is a prime example of Polkadot’s effort to improve user experience with Polkadot’s Web3 wallet from the Vietnamese development team. Ms. Riley Tran, Co-Founder and CIO of GFI Ventures, affirmed that user-friendly applications like SubWallet are essential for developing blockchain ecosystems.

Helena Wang, Director of Parity Technologies Asia-Pacific said, “The human resources for Web3 development and the blockchain user community in Vietnam will be an important driving force in the development of the Polkadot ecosystem.”

With the strong development of blockchain in recent years, Web3 is expected to be a breakthrough to make the Internet better and safer. This is also one of the important reasons why technology organisations and businesses decide to move and build Web3 projects.

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