Switzerland is known for having a mix of languages, mountains and a strong banking sector. The cryptocurrency surge all over the world has created an important competitor to traditional banks. Indeed, decentralized cryptocurrencies want to build the next economic system all over the world. A good idea for Switzerland may be to move from being the ‘banking nation’ to the ‘crypto-nation.’
Switzerland – The Crypto-Nation
Several countries have expressed that cryptocurrencies are risky, unstable and that they do not have intrinsic value. Indeed, China has banned cryptocurrency trading and Initial Coin Offerings form operating in the country. But other nations, including Switzerland and Belarus, are moving towards cryptocurrencies.
The Swiss government has announced that it is supporting different cryptocurrency and blockchain projects in the country. But the most interesting thing is that, during a private conference, the Minister of Economy Johann Schneider-Ammann, said that the country wants to become a ‘crypto-nation.’
The State Secretary at the Swss Finance Ministry said:
“We think there is huge potential – but the market is not as disciplined as we want. We want it [the ICO market] to prosper but without compromising standards or the integrity of our financial markets.”
In Switzerland, cryptocurrencies are used for illegal activities. And that’s an important topic that concerns most of the government officials. Cryptocurrency traders in the country need to present documentation in order to continue benefiting from bank support. Anti Money Laundering (AML) policies are strong. Cryptocurrency exchanges have a rigorous Know Your Customer (KYC) policy.
Switzerland can be one of the most opened countries in the world when its about cryptocurrencies and Blockchain technology. It has backed several ICOs that have been very successful and there are important teams working in other interesting topics.
Mining Farms in Switzerland
Bitmain, one of the most important cryptocurrency mining enterprises in the world is investing in Switzerland. In the past weeks, we have reported at CoinStaker, that cryptocurrency miners in China are moving to other countries. The main reason is that the government may create difficulties for miners to operate in the Asian country.
Bitmain and other cryptocurrency miners, settle their farms near cheap electricity hubs. Electricity that is meant to power industrial plants and cities is now being used by cryptocurrency miners. Among the places where Bitmain could move Switzerland and Canada were the main choices. Cold weather (in the mountains in Switzerland), cheaper electricity near hydroelectric power plants and political and economic stability may be worth more than the profit from cheap electricity itself.
The Swiss government is taking one step further to attract cryptocurrency investments to the country. Several enterprises are searching to settle their offices in countries with an open policy towards ICOs and cryptocurrencies in general.
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Tags:bitcoinBlockchainBlockchain TechnologyBTCCrypto-NationCryptocurrenciesCryptocurrencyCryptocurrency NationEuropeminingSwitzerland