Switzerland’s Federal Council propose light-touch regulations for fintech firms

Regulation | November 3, 2016 By:

Switzerland’s Federal Council proposed new light-touch regulations for fintech companies aimed at bolstering business and competitiveness.

The Swiss Federal Council instructed the Federal Department of Finance (FDF) to prepare a consultation draft to relax the regulatory framework required for fintech companies to enter and invest resources in the country.

Key elements include plans for a new kind of license geared specifically toward fintech companies and a so-called regulatory “sandbox” for experimental firms. Under the proposed regime, the Financial Market Supervisory Authority would become the primary regulator of fintech firms working in Switzerland.

During a press conference, Swiss Finance Minister Ueli Maurer argued that the proposed fintech legislation would help draw in more companies – though the country’s accommodative stance has already led some blockchain startups to make their home in Switzerland.