Swiss Bankers Association Acts to Prevent Crypto Firm Exodus

The Swiss Bankers Association (SBA) has released a set of guidelines intended to bolster the availability of financial services to cryptocurrency companies. They are in response to the stubbornness of many banks to provide financial services to crypto-related businesses.

Swiss Bankers Association Publishes Guidelines Intended to Stem Crypto Exodus

The guidelines are a response to growing concerns that an unwillingness on the part of many banks to provide financial services to cryptocurrency companies may drive an exodus of crypto start-ups from Switzerland.

Adrian Schatzmann, strategic adviser of the SBA, stated: “We believe that with these guidelines, we’ll be able to establish a basis for discussion between banks and innovative startups, making the dialogue simpler and facilitating the opening of accounts.”

Guidelines Recommend Different Procedures for Crypto Companies Conducting ICOs

The SBA makes specific recommendations for firms that are conducting initial coin offerings (ICOs), also suggesting separate know-your-customer and anti-money laundering (AML) procedures for firms that raise funds through ICOs in the form fiat currencies and ICOs generating funds in the form of cryptocurrencies.

“This provides more clarity not only to banks, but also to startups,” Oliver Bussmann, head of the Crypto Valley Association said.

Swiss Banks Restrict Services to Crypto Companies Amid ICO AML concerns

With Mr. Bussmann estimating that 530 crypto and DLT companies have established operations in Zurich and Zug, it is imperative for the survival of the local industry that firms are able to access basic financial services.

Deputy chief executive officer of the SBA, August Benz, indicated that while the initial discussion between the SBA and local financial institutions has been positive thus far, it will take time to assess the impact of the new guidelines.