Conference & Expo. Hear from the leading voices in crypto during three days of expert panels. · VIP Events · NFT Gallery · Nightlife. The Indian finance minister suggested against using vegasbets.online law enforcement organization blocked the assets of two crypto exchanges. Meeting/Seminar. NFTs, tokenisation and crypto trustees. 26 October · Read more. 26/10/ Meeting/Seminar. AIDING AND ABETTING A FUGITIVE PUNISHMENT DEFINITION
This was already visible in the early days of the internet and is no different with the advent of blockchain technology. Regulators are naturally lagging behind the development. However, for mass adoption of new applications, regulation is essential, as without legal certainty, the flow of investment and thus innovation comes to a standstill. Since the first major adoption of cryptocurrencies in , a lot has happened in this area. The fact that values can now be transferred over the internet without involving the traditional payments and financial infrastructure makes the regulatory framework no less complex.
Meanwhile transaction possibilities already exist in the DeFi area, that are in no way inferior to the traditional financial sector. They serve as mediums of exchange and arguably also as units of account and storage of value. Utility tokens are currently not treated as securities by FINMA, provided that: i their sole purpose is to confer digital access rights to an application or service; and ii the tokens can actually already be used in this manner when they are issued.
Asset tokens shall, according to FINMA, generally be treated as securities; for example, if they represent uncertified securities or derivatives and are standardised as well as suitable for mass trading. As FINMA points out, uncertificated securities may also be created in so-called pre-financing and pre-sale scenarios, if claims to purchase tokens in the future are granted in the course of such processes.
Such uncertified securities will also be treated as securities provided they are standardised and suitable for mass trading. Stablecoins, according to the FINMA Supplement, may qualify as securities; for example, stablecoins linked to commodities other than to so-called precious metals of banks , which give rise to a contractual claim of the holder in relation to such commodities. Since, under Swiss law, securities may qualify as derivatives, such stablecoins may be treated as securities, in particular in the form of uncertificated securities, provided that they are: i standardised; and ii suitable for mass trading.
This might, for example, be the case for stablecoins, which merely fulfil the function of evidencing legal ownership with regard to the respective underlying such as a commodity. However, it must be noted that, from an economical perspective, where asset tokens are linked to underlyings, the respective coin will regularly constitute an indirect investment in such underlying. Conversely, stablecoins use such linkage primarily for the purpose of stabilisation of their price.
Therefore, the stabilisation through the link to an underlying is paramount for the qualification as a stablecoin, rather than the indirect investment purpose. This is also why relatively stable underlyings such as the U. Finally, provided that, from an economical perspective, certain types of stablecoins are designed in a way that they both reflect a payment as well as an investment function purpose, FINMA may qualify such coins as hybrid tokens.
The Crypto Market Index Fund enables qualified investors to participate in this digital asset class. The objective of the Crypto Market Index 10 is to reliably measure the performance of the largest, liquid crypto-assets and tokens and to provide an investable benchmark for this asset class. For example, issuing asset tokens in the form of securities, which are linked to the performance of a share or a project, may, under certain circumstances, qualify as regulated securities firm activity.
Such an issuing may also trigger the prospectus requirements under FinSA.
Its nonprofit arm, the Feathercoin Development Foundation, moved its headquarters to Zug last year, and the firm has been active in attracting investment from several prominent Swiss investment groups. Like many other cryptocurrencies, Feathercoin is fully open-source, and it was originally formed via a hard fork from Litecoin by the creation of its genesis block. Feathercoin leverages NeoScrypt for its encryption, making it significantly more difficult to crack and mine than other alt coins.
Shapeshift was founded in by prominent crypto entrepreneur Erik Voorhees, and has been headquartered in Zug since its inception. Created by a team of researchers and academics based in Zug, the fund tracks the CCI30 Index, which indexes the top 30 cryptocurrencies worldwide. The client also offers users the option to verify transactions with smart contracts. Once the service goes live, users are set to see significantly lower trading fees and likely higher returns as well on the trading platform.
Built on the Ethereum blockchain, the platform is accessible to individuals and corporations and supports Dapps for different types of insurance for example, the firm recently released a dedicated Dapp that automatically purchases blockchain-based flight insurance for airline delays.
The German startup moved its headquarters to Zug in and has formal partnerships with Lakeside Capital and Inacta, two other major players in the Zug crypto ecosystem. The firm also operates a nonprofit arm, the Decentralized Insurance Foundation, which is also based in Zug. Sweetbridge From its headquarters in Zug, Sweetbridge is looking to transform the world of global supply chain management through the blockchain.
The startup is a member of the Liquid Value Alliance, which is seeking to collaboratively improve upon existing supply chain processes around the world by using blockchain technology. The Sweetbridge protocol also allows users to receive low-cost loans on crypto assets without any need for an intermediary bank. The company is seeking to build the foundations of a new supply chain ecosystem built on the Sweetbridge platform, unlocking the potential of underutilized supply chains globally.
Bitmain The China-based crypto mining giant recently expanded its operations into Zug, on the heels of news that the Chinese central government is preparing a major crackdown on crypto miners. The company has said that it plans to be active in the Crypto Valley Association, and will also be building data centers in the country as well. Bitmain views its Switzerland subsidiary as a way to begin growing its presence in Europe and diversify its portfolio beyond just China.
Upon entry into the market, it will almost immediately become the largest mining player in Europe by a wide margin. Datum Datum is a decentralized marketplace that allows users to store, sell, and trade data. The marketplace allows users to buy data by using the native DAT token, which is then stored on a network of decentralized storage nodes. The firm completed its ICO in late , and has begun ramping up its presence in Switzerland in recent months. Users have the ability to submit any type of data to the Datum network.
Datum customers are allowed to have granular control over how their data is stored and shared as long as it remains on the network. LoyaltyCoin A Swiss development team led by Thomas Goetschmann founded its Ethereum-based startup to put retail shopping loyalty programs on the blockchain, while tokenizing the entire concept of customer loyalty.
Users can sign up for loyalty programs with a number of vendors, and earn tokens that can then be exchanged for crypto and tracked in the LoyaltyCoin mobile app. The tokens are created and stored either on a blockchain specifically created for the ICO or on a pre-existing blockchain. Payment tokens cryptocurrencies are defined as tokens that are used as a means of payment or as a means of money or value transfer. Utility tokens are those that provide digital access to an application or service by means of a blockchain -based infrastructure.
Asset tokes represent assets such as a debt or an equity claim against the issuer. However, utility tokens that have an additional investment purpose or a sole investment purpose at the time of issue, as well as asset tokens that are standardized and suitable for mass standardized trading, are classified as securities.
However, if there are liabilities with debt capital character, for example a promise to return capital with a guaranteed return, then such an ICO would require the organizer to obtain a banking license. Cryptocurrencies are treated like foreign currencies for tax purposes and are subject to wealth tax. It will study the legal framework for financial sector-specific use of blockchain technology with a particular focus on ICOs and report back to the Federal Council, the Swiss government, by the end of