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Crypto News: Vietnam Launches NDAChain to Enhance Digital Ecosystem

Published by
Zameer Attar and Anjali Belgaumkar

On Friday, the Vietnamese government launched a national blockchain platform, NDAChain, to protect information across both government and private services. The country’s National Data Association developed it and will be operated by the Ministry of Public Security’s Data Innovation and Exploitation Centre to evolve the digital ecosystem. 

Why did the Vietnamese Government Launch NDAChain?

The Vietnamese government launched NDAChain to address the growing demand for security in the digital ecosystem. The NDAChain will challenge the limitations of centralized data modes, such as cybersecurity risks, difficulty in scaling, and global integration. 

NDAChain will integrate blockchain technology to simplify critical national systems like— e-government, finance, healthcare, logistics, and education. 

Mr. Nguyen Huy, Head of Technology at National Data Association, said, “Vietnam has chosen a hybrid data architecture that blends centralized and decentralized components. NDAChain acts as a protective layer for the nation’s live data, critical to our digital society and economy.” 

NDAChain Architecture of Decentralized Trust Layer

The NDAChain is not completely decentralized but uses a hybrid architecture to provide a decentralized trust layer, a blockchain technology. This permission layer 1 blockchain, consisting of 49 validating nodes, is operated by the state agencies and large enterprises like Zalo, Masan, and SunGroup. 

The network operates on a Proof of Authority (PoA) consensus mechanism combined with zero-knowledge proofs (ZKPs) for enhanced security. Additionally, the NDAChain integrates with NDA DID, a decentralized identity solution to verify counterparty identity in transactions. 

Vietnam Expanding Security Measures in Digital Space

With integration of enhanced technology, NDAChain is capable of processing up to 3,600 transactions per second, while the NDAKey application prevents scams and impersonation. The government plans to fully integrate the NDAChain into the National Data Center, local government, and universities by the end of 2025. 

Furthermore, it also plans to launch phase 2, focusing on international collaboration and building a layer 2 application customized for various sectors. 

Final Thought

Vietnam is evolving its digital assets environment with NDAChain technology. A representative from the Data Innovation and Exploitation Center affirmed that the blockchain development reflects the country’s aspiration for sustainable growth with innovation. This also shows Vietnam’s target for long-term vision in data infrastructure and digital economic development.

FAQs

What is NDAChain in Vietnam?

NDAChain is Vietnam’s national blockchain platform launched to secure data across public and private digital services.

Why did Vietnam launch NDAChain?

Vietnam launched NDAChain to enhance cybersecurity, improve scalability, and support digital transformation in key sectors.

How does NDAChain work?

NDAChain uses a hybrid blockchain with 49 validating nodes, PoA consensus, and zero-knowledge proofs for secure data processing.

What sectors will NDAChain support?

NDAChain will support e-government, finance, healthcare, logistics, education, and more by integrating blockchain security.

Zameer Attar and Anjali Belgaumkar

Zameer is a financial analyst and writer with a particular interest in cryptocurrency markets. He has been studying cryptocurrencies and their market behavior for several years and deeply understands the factors that affect the price of cryptocurrencies. His expertise lies in his ability to use both technical and fundamental analysis to make informed predictions about the future direction of cryptocurrency prices. He has a strong understanding of market sentiment and uses this to inform his trading decisions and price predictions.

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