On Monday, the first part of the Swiss blockchain law covering corporate reforms went into effect. In September 2020, the country’s parliament adopted an expanded regulatory framework for crypto and blockchain technology in the country.
According to a Swissinfo report, implementation of the new regulatory framework; It will help improve Switzerland’s thriving crypto and blockchain situation. Indeed, people within the industry in the country praised the extended financial and institutional reforms included in the amended legislation adopted by parliament in September 2020.
For Hans Kuhn, a board member of digital bank SEBA, blockchain law maintains Switzerland’s place in the emerging digital economy. The regulated issuance of blockchain-based securities points to the country’s focus on promoting digital innovation, according to Kuhn.
Also Monday, crypto broker firm AG announced that it has obtained a license from the Swiss Financial Market Supervisory Authority (FINMA). With the license, the brokerage firm, which handled over $ 1 billion in transactions last year, can now offer securities to its customers.
Crypto Broker AG participated alongside SEBA and Sygnum Bank with its FINMA license in the further expansion of the regulated crypto securities trading arena in Switzerland. In the second part of the Swiss blockchain law, which is expected to come into force in the summer, companies will seek to establish a significant presence on the asset exchange to trade these crypto securities in a regulated manner.
Switzerland joins other countries with blockchain law
The second part of the Swiss blockchain law will cover significant upgrades in the country’s financial market infrastructure. This part of the blockchain law will provide legal support for trading crypto securities alongside other cryptocurrency exchanges.
Switzerland is now joining Liechtenstein as one of the few countries that have passed full crypto and blockchain regulations that take into account all important aspects of the industry. However, unlike the Swiss approach that changed existing laws to suit the blockchain market, Liechtenstein created a new legal framework for the cryptocurrency and blockchain market.