Switzerland’s favourable regulatory environment for cryptocurrency startups is luring businesses to Switzerland’s banks. In addition, Switzerland’s “Crypto Valley” region is home to newly founded and well-established digital currency companies.
Several cryptocurrency businesses have relied on Signature Bank and Silvergate Capital as their primary banking partners. Nevertheless, since two of the most significant lenders are not an option, cryptocurrency businesses have switched their attention to Switzerland, which has positioned itself as a crypto centre with solid regulation.
Swiss bank flooded with requests
An adviser at a private Swiss bank, who asked to remain anonymous owing to the delicate nature of the topic, said, “We have been besieged with demands.” On the Monday after the winding down of Silvergate and Signature Bank earlier this month, the adviser said that the private lender had received more inquiries in a single day than ever.
Dominic Castley, Sygnum Bank’s Chief Marketing Officer, has reported a surge in inquiries from various entities, including investors, asset managers, and blockchain projects. These parties have shown an interest in diversifying their crypto investments with the help of a trusted Swiss partner like Sygnum Bank, one of the most prominent banks in Switzerland that focuses on servicing digital asset companies.
Switzerland’s Crypto Valley advantage
The favourable regulatory environment Switzerland provides for cryptocurrency businesses is one reason companies open bank accounts there. In addition, Switzerland’s “Crypto Valley” region is home to newly founded and well-established digital currency companies.
According to Thierry Arys Ruiz, Chief Executive Officer of AgAu.io, Switzerland provides more consistency and predictability in the regulatory compliance standards. Also, a confidential adviser at a private Swiss bank claimed that corporations in Switzerland are looking for a safer country to regulate cryptocurrency.