Zanzibar and Vietnam Launch Blockchain Sandboxes and Strategies to Become Regional Hubs

Zanzibar has launched a sandbox for blockchain startups to spur innovation from local companies and attract innovators from neighboring countries. At the same time, the Vietnamese government has launched a national blockchain strategy with one bold goal: to become Asia's blockchain hub.

Zanzibar government launches blockchain sandbox

The Zanzibar government has announced the launch of a blockchain sandbox to support and accelerate the development of innovative blockchain solutions. This initiative aims to foster a vibrant ecosystem for emerging technologies within the island region.

Startups and innovators working on blockchain-based solutions are invited to participate in the sandbox, with a particular focus on addressing key challenges faced by Zanzibar, such as financial inclusion, certificate issuance, and identity verification.

“The primary objective is to create a conducive environment for the development of cutting-edge technologies, including blockchain, AI, and other emerging technologies. Innovators will have the opportunities to work on pilot projects, collaborate with experts, and receive mentorship from industry leaders, which is very critical,” said Said Seif Said, who heads the e-Government Authority of Zanzibar, as quoted by local media.

This initiative aligns with the broader efforts by the Tanzanian government to promote blockchain adoption. Earlier this year, the government partnered with the African Blockchain Association to enhance citizen awareness regarding blockchain technology.

Sandboxes have become increasingly vital in facilitating the development and deployment of blockchain applications. They provide innovators with greater flexibility and regulatory clarity as they collaborate with authorities in developing and testing their products.

Recently, the European Blockchain Sandbox Initiative welcomed its second cohort, comprising 41 watchdogs from 22 EU countries. In August, the Thai SEC launched its sandbox for the digital asset sector, while a month earlier, Hong Kong’s central bank welcomed Standard Chartered (NASDAQ: SCBFF), Animoca Brands, JD.com (NASDAQ: JD), and others into its sandbox.

Vietnam unveils national blockchain strategy

In related news, Vietnam has emerged as a hotspot for digital assets over the past five years, consistently ranking among the top three countries in the Chainalysis Adoption Index since 2021. Several factors, including a high unbanked population, low faith in the national currency, and zero taxation, have contributed to this rapid adoption. Now, the government is aiming to channel this enthusiasm towards the underlying blockchain technology.

Deputy Prime Minister Ho Duc Phoc has approved a new national strategy for blockchain technology, which aims to lay the groundwork for the widespread adoption of blockchain by 2025 and to establish Vietnam as a blockchain hub by 2030. This initiative will be spearheaded by the country’s Ministry of Information and Communications, particularly through the National Electronic Authentication Center (NEAC).

The strategy is built upon six key pillars, including the development of digital infrastructure, growth control mechanisms, and a sustainable digital economy. It also outlines some key action areas, such as providing legal clarity to the sector,培养 skilled developers, and investing in research and development.

Under the R&D pillar, the government will promote blockchain research in the three national innovation centers and establish ten more training facilities dedicated to the technology. Additionally, it will integrate blockchain into the curriculum of universities, colleges, and research institutions. Earlier this year, civil societies in Vietnam launched the Vietnam Academy of Blockchain and AI Innovation to spur the two transformative technologies.

The strategy assigns specific actions to various government agencies and industry bodies, including NEAC and the Vietnam Blockchain Association (VBA).

“This strategy will position Vietnam among the top countries in blockchain application and research in the region, ensuring that we master and utilize blockchain across all social and economic sectors, contributing to a stable and prosperous digital nation,” said To Thi Thu Huong, the director of the NEAC.

The VBA was the only private sector organization assigned a role in implementing the new strategy, which the association’s vice president, Phan Duc Trung, says is in recognition of its continued contributions to the sector.

“VBA is aware of its responsibility towards this very young but potential industry. We are committed to actively and proactively performing the assigned tasks to promote community development in the direction of research, practical application, and maximizing the benefits of blockchain technology as shown in the national strategy.”

Establishing a legal framework for blockchain and digital assets will be just as critical to the success of the strategy. Despite leading ASEAN in digital assets, Vietnam still lacks a comprehensive framework for the sector, hindering the technology’s implementation by mainstream organizations and pushing local startups to set up operations abroad.

Watch: Adaptable blockchain system to tackle real-world problems