VNDC 2.0 is no longer a digital currency pegged 1:1 to VNDC like the previous generation. Instead, VNDC 2.0 is designed as a Unique Digital Asset: a digital asset that reflects the value of VND in the USD standard and operates transparently on the blockchain. This approach brings VND into the global liquidity space according to the DeFi standard, instead of depending on a centralized governance mechanism.
HVA Group is a strategic partner in the VNDC 2.0 ecosystem with the role of creating operating standards, connecting technology partners and promoting practical use cases - from payments, money transfers to digital financial products for businesses and the community.
How does VNDC 2.0 work?
On-chain liquidity guarantee. Each VNDC issued comes with a USDT/USDC collateral asset locked in a smart contract. Users can directly exchange VNDC ↔ USDT/USDC via smart contract, ensuring liquidity availability and public verifiability.
Market price anchoring. 1 VNDC is not fixed at 1 VND. The value of VNDC fluctuates according to the VND/USD exchange rate, usually in the range of 0.00003 – 0.00004 USD (equivalent to ~23,500 – 27,000 VND/USD). This floating mechanism closely reflects foreign exchange supply and demand and international practices, helping VNDC 2.0 naturally connect with the global financial infrastructure.
Transparent and decentralized. The mint/redeem process does not rely on a centralized fund but is operated by the Liquidity Provider Alliance, under the supervision of a smart contract audited by CyStack and Verichains. This minimizes the risk of centralization, increasing system reliability.
Outstanding benefits for users and businesses
With VNDC 2.0, in addition to OTC channels or exchanges, users can transact directly with the protocol to convert VNDC to USDT on the blockchain network—thus easily participating in DApps, on-chain transactions and using DeFi services without intermediaries. For businesses, the on-chain escrow model opens up the possibility of integrating cross-border payments, transparent treasury management and optimizing foreign currency conversion costs in automated processes.
HVA Group focuses on bringing these benefits into real-world use cases: integrating VNDC 2.0 into wallets and payment gateways, designing digital asset-based lending/mortgage products, and developing connectivity standards so businesses can plug-and-play into the Web3 ecosystem.
The significance of VNDC 2.0 for the digital financial ecosystem
- Bringing VND to the world in the form of digital assets with international liquidity, helping the Vietnamese community and businesses access capital flows and the DeFi market.
- Connect to international standards, thanks to the USD pegging mechanism, creating a platform for lending, staking, payment, farming activities... on many chains.
- Create infrastructure layer for new application, where liquidity and collateral data are publicly verifiable, helping developers build secure and scalable financial products.
With the role of accompanying the project with the technological capacity of HVA Group, The goal is to standardize processes, promote cooperation with technology units and the developer community, ensuring VNDC 2.0 is both compliant and flexible enough to serve real needs from individual users to businesses.
Conclusion
VNDC 2.0 is a Unique Digital Asset: anchoring the value of VND to USD through on-chain liquidity guarantee, transparent and decentralized operation. The participation of HVA Group helps accelerate the application of VNDC 2.0 in life and businesses, expanding the liquidity margin of VND in the global digital financial space.
