A few years after the coup that overthrew the Ngô Đình Diệm regime, Nguyễn Văn Thiệu became president of South Vietnam. Being a strong believer in feng shui, he invited a renowned Chinese feng shui master to examine the land at the Independence Palace.

After inspecting the site, the feng shui master praised the palace's location as a "dragon vein" spot, anchoring the dragon's head. This dragon had its head at the Independence Palace and its tail at the site of Chiến sĩ Square (i.e Soldier's Square). While the palace was thriving and prosperous, the dragon's tail was restless, causing instability in one's career.

According to ancient beliefs, when the dragon awakens, its tail will thrash around, causing damage to everything in its vicinity. Therefore, it was necessary to suppress the dragon's tail from flailing further by casting a large turtle, thus ensuring a long-lasting presidency and maintaining the stability of the government.

For this reason, President Nguyễn Văn Thiệu ordered the construction of a turtle pond to serve as a place to anchor the dragon's head. According to some, the architecture of the tall tower resembles a sword (or a nail/metal), plunged into the water to firmly secure the dragon's tail. This is why the Independence Palace is also known as the "Dragon Head Palace."