The Swiss parliament has amended and defined legislation for blockchain technology and digital currencies in the nation, bringing digital assets nearer to a conventional exchange and investment means.
As a result of a Swiss Info report, the “Blockchain Act” in Switzerland has been duly amended by the country’s Senate after the law had been passed through the House of Representatives unanimously.
As specified, the amended Blockchain Act has brought about critical updates, varying from corporation bankruptcy to securities trading. Under the new law, a well established legal basis for exchanging digital-only securities has been created. The amended law also helps outline the legal processes for reclaiming digital assets from bankrupt companies. From indications, the law should take effect in the first quarter of 2021.
Deemed to have a fair blockchain and crypto-centric policies, the Senate body’s move in the Alpine country has endeared blockchain stakeholders. “As of next year, Switzerland will have a regulatory framework that is among the most advanced in the world,” said Heinz Tännler, President of the Swiss Blockchain Federation.
The Amended Law Will Consolidate Switzerland Current Blockchain Expansion
Switzerland is notable as a fast-growing hub for the world’s blockchain industry. At present, the county houses about 900 blockchain companies with an estimated total staff of about 4,700 as gleaned from the Swiss Info report. These figures are billed to rise when the new bill comes into full effect.
The presently reformed laws take a deep precedent from the Swiss’ Federal Council’s clamor for better and fair blockchain regulation. With the yearnings heard and the Blockchain Act reformed, the question of its impact hinges on the heart of many.
The latest law is expected to stir the highly blockchain and crypto skeptical Switzerland banking sector into seeing the technology and its associated innovations in a new light.
Failure to stand up for blockchain and cryptocurrencies can make existing banks lose customers to Sygnum and Seba Crypto AG. The two blockchain firms granted banking licenses by the country’s top banking regulator, The Financial Market Supervisory Authority (FINMA).
As newly proclaimed, Zug’s canton in Switzerland plans to start accepting taxes in cryptocurrencies from the beginning of next year.