Banking purge: Vietnam FREEZES 86 million accounts for noncompliance with new biometric requirements
By ramontomeydw // 2025-09-21
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  • Vietnam is freezing or deleting 86 million bank accounts (nearly half of all accounts nationwide) for failing to comply with mandatory facial biometric scans, citing AI-driven fraud and money laundering as justification.
  • Transactions over 10 million dong ($379) now require facial verification, disproportionately impacting foreign residents and inactive account holders, with reports of people forced to fly back to Vietnam to avoid account termination.
  • Privacy advocates warn this sets a dangerous precedent for government financial control, with biometric data being irreplaceable if hacked, enabling permanent identity theft risks and potential misuse for surveillance and exclusion.
  • Similar to Cyprus' 2013 bail-ins and Nigeria's crypto bans, Vietnam's move reflects a global trend of governments weaponizing banking access to enforce compliance, with experts predicting more countries will follow.
  • Proponents argue this crackdown highlights the need for censorship-resistant money like Bitcoin, where users retain full control without reliance on banks or biometric mandates.
In a sweeping move that has alarmed privacy advocates and Bitcoin proponents alike, Vietnam has begun closing 86 million bank accounts that failed to comply with strict new facial biometric authentication mandates. The State Bank of Vietnam (SBV) first announced the purge in July, with the closures taking effect this month. It cited rising fraud powered by artificial intelligence (AI) and money laundering as justification for the unprecedented financial lockdown. Under the SBV's rules, facial scans are required for account verification and transactions exceeding 10 million Vietnamese dong ($379). This has left millions of citizens and expatriates scrambling to reclaim access to their own funds, though foreign residents and inactive account holders appear to be disproportionately impacted. The move has left nearly half of the country's 200 million accounts now frozen or slated for deletion. Given this, critics warn this marks a dangerous escalation in government financial surveillance – one that could foreshadow similar crackdowns worldwide. One Reddit user, a former contractor identified as "Yukzor," described being forced to fly back to Vietnam to prevent HSBC from shuttering his account. He called the requirement "crazy" in an era where digital solutions should suffice. "They said they will close my account this month if I don't fly in and update the biometrics," Yukzor lamented, highlighting the draconian reality of centralized financial control. Bitcoin commentator Marty Bent echoed the sentiment, bluntly stating: "This is why we Bitcoin."

How Hanoi is accelerating financial surveillance

Historical precedent suggests Vietnam's actions are far from isolated. From Cyprus' 2013 bail-ins to Nigeria's abrupt cryptocurrency bans, governments have repeatedly weaponized banking access to enforce compliance. Bent noted it would be "naive to think Vietnam will be the last" – pointing to Lebanon, Turkey and Venezuela as cautionary tales where capital controls crippled financial autonomy. (Related: Vietnam becomes first country to enact comprehensive law regulating the digital technology industry.) Brighteon.AI's Enoch also points out that "linking bank accounts to biometrics poses severe security risks, as compromised biometric data – unlike passwords – cannot be changed if hacked, leaving victims permanently vulnerable to identity theft and financial fraud. Additionally, centralized biometric databases like those proposed for digital IDs could be exploited by governments or corporations for surveillance, control and even exclusion from essential services based on compliance with mandates." The SBV defended the policy as a necessary cleanup of dormant or fraudulent accounts, particularly after police busted an AI-driven laundering ring moving 1.03 trillion dong ($39 million) using spoofed facial scans. Yet critics like Bitcoin environmentalist Daniel Batten warn the rules grant the SBV "next-gen financial surveillance ability," eroding privacy under the guise of security. While local crypto executives downplay the backlash, insisting most Vietnamese citizens remain unaffected, the policy's ripple effects are undeniable. Herbert Sim, chief marketing officer of the AI Creator Economy and Network, noted the challenges for foreigners: "The OTP [One-Time Password] and phone-bindings, needing in-person biometric verification are big hurdles." For Bitcoin advocates, Vietnam's crackdown underscores the urgency of decentralized alternatives where no government can freeze funds or demand biometric tribute. As Bent put it: "Once you use Bitcoin as your bank and do it correctly, there is no need to worry about your country's government or central bank deciding on a whim to thrust biometric verification requirements on you." The fallout from Vietnam's banking purge serves as a stark reminder. In an age of escalating digital control, the fight for financial sovereignty is just beginning. Visit Surveillance.news for more similar stories. Watch this video from World Alternative Media about the closure of 145 banks in a span of five weeks. This video is from the World Alternative Media channel on Brighteon.com.

More related stories:

Russia to launch nationwide facial recognition payment system this year. Sam Altman pitches world ID to bankers as AI threatens traditional identity systems. JPMorgan to launch biometric payment system as next step in Orwellian financial surveillance. Sources include: CoinTelegraph.com En.VietnamPlus.vn Brighteon.ai Atlas21.com Brighteon.com
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