5 Reasons Why Switzerland Is Considered a Crypto Forerunner
As the world moves increasingly into the digital age, it makes sense that currency would also. Globally, we are still pioneering through the endless possibilities of what blockchain technology can offer us, yet Switzerland is a step ahead of the pack.
Switzerland was one of the first countries to enter the digital asset space, with it being the headquarters of many blockchain institutions, such as Ethereum and Tezos. Additionally, with a stricter interpretation of the Financial Action Task Force’s (FATF) Recommendation 16, the Swiss Financial Market Supervisory Authority (FINMA) - in charge of financial regulation - was one of the first regulators to publish its own guidance on the application of the Travel Rule to virtual asset service providers (VASPs) in August 2019. By doing so, it created regulatory strength and trust within the blockchain.
5 Reasons Why Switzerland Is Considered a Crypto Forerunner
Switzerland is considered the global crypto forerunner as it has hit the requirements of creating a flourishing ecosystem on the mark.
1. A Strong Bitcoin Community
There has been a strong, grass-root Bitcoin community from early on. The first Bitcoin meetups were held already in February 2011, with nowadays well-known OGs such as Christian Decker, Mike Hearn, and Stefan Thomas, among others.
2. One of the First Implementors of the Travel Rule
Implemented by FINMA, Switzerland offered a robust crypto regulatory setup long before other jurisdictions, offering trust and security to entities that wanted to join the ecosystem.
3. A Knowledgeable Community
Those involved in crypto in Switzerland are knowledgeable. Switzerland has many learning opportunities centred around crypto, financial knowledge experts and crypto pundits.
4. Politicians Have Embraced Blockchain Technology
Switzerland has a decentralised political culture, and governmental partners support the development of the ecosystem. Even at the highest levels of politics, there are signs of support; Parliament agreed to make specific changes to current legal structures. In addition to providing legal clarity, the recent DLT legislation also leaves room for innovation and new business models.
5. Crypto Is Alive in Switzerland
Unlike other countries teetering on the edge of the digital age, crypto is alive and kicking in Switzerland. Throughout Switzerland, you can see real use-cases of digital assets, for example, paying for goods and services using Bitcoin, widely available crypto ATMs, innovative fintechs developing compliance software, and the development of new banks, such as SEBA, focusing entirely on digital assets. Even traditional fiat banks, such as Vontobel and Arab Bank Switzerland, have embraced the blockchain and are offering related services.
What Does the Swiss Cryptocurrency Future Entail?
A survey done at the end of 2021 shows impressive results. Based on these findings, it can be predicted that the Swiss crypto future is bright, with plenty to offer current and future crypto businesses and investors.
2021 produced a total trading volume of CHF 41.2 billion in security and non-security tokens through Swiss VASPs, with 1283 full-time employees in the digital asset ecosystem. Entities that specialise in advisory and wealth management, asset management, trading & brokerage services, as well as custody and service providers, have all set up shop and are thriving in Switzerland.
Emi Lorincz, Talos Director of Business Development.
Thanks to its long history of financial security, strict privacy regulations, and practical regulatory approach, Switzerland is a prospering centre for new company concepts in the fintech sector. Innovation is promoted from blockchain to cybersecurity while providing a safe regulatory environment.
Count Me In: How Do I Get Started?
We can help you with your crypto venture by connecting you with the perfect legal, compliance, accounting or banking partners for your needs. Whether you are trying to set up a VASP, obtain regulatory licenses, train your coding team, or evaluate a service or solution, we have you covered.
Access our Swiss network and expertise - contact 21 Analytics directly to find out how you or your company can get involved in the Swiss blockchain scene.
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