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Switzerland’s Federal Council opened a public consultation on stablecoin regulations on Oct. 22, proposing that issuers fully back tokens with liquid assets, maintain segregated reserves, and publish FINMA-approved whitepapers — part of a global race to regulate digital currencies following the U.S. GENIUS Act in July.
In the second paragraph of the proposal, Switzerland Stablecoin regulations were described as a “measured and transparent step toward integrating digital assets with traditional finance.” Analysts say this approach could make Switzerland a global reference point for balancing innovation and stability in the crypto economy.
Under the proposed Switzerland Stablecoin regulations, the government plans to create a new category of licenses for “payment instrument institutions” that issue value-stable blockchain tokens.
These issuers would be required to fully back their stablecoins with high-quality liquid assets, maintain segregated reserves, and publish a FINMA-approved whitepaper detailing key financial disclosures.
According to the consultation document, these steps are designed to protect consumers and maintain monetary integrity — a hallmark of the Swiss financial system.
“Switzerland has taken its time to learn lessons — from the EU, the US, and others,” said Dea Markova, Policy Director at Fireblocks, in an interview with Financial Times.
“Stablecoins could be a game changer for building out the country’s tokenised asset and bond markets. To have that market, you need tokenized money — cash on chain — and that’s what this framework is really about.”
Industry leaders argue that Switzerland Stablecoin regulations could enhance trust in the Swiss franc by merging traditional monetary policies with digital flexibility.
Hany Rashwan, founder of 21Shares, told FT that the framework could “support the strength of the Swiss franc, its stability, and sovereignty.” He added that a properly regulated stablecoin ecosystem might bolster Switzerland’s appeal as a global hub for digital finance, especially amid rising demand for blockchain-based payments and tokenized assets.
Under the Switzerland Stablecoin regulations, stablecoins issued abroad but traded within the country will be treated as crypto assets rather than legal payment instruments. Offshore issuers won’t need to relocate or maintain duplicate reserves in Switzerland — provided they don’t issue tokens domestically.
The proposed law also mandates issuers to notify FINMA 60 days before launching a stablecoin and ensures holders can redeem tokens at face value within a short timeframe. These steps align Switzerland with global best practices while maintaining its own identity as a precision-driven regulator.
The Switzerland Stablecoin regulations come at a time when global interest in fiat-backed stablecoins is skyrocketing. Since the U.S. passed the GENIUS Act in July 2025, several major economies — including the European Union, Japan, the United Kingdom, Singapore, and Hong Kong — have intensified their efforts to define rules for issuance, custody, and redemption of stablecoins.
This coordinated global trend underscores how Switzerland’s cautious but comprehensive approach could allow it to avoid early policy mistakes made elsewhere while setting a gold standard for financial innovation.
The consultation period for the Switzerland Stablecoin regulations remains open until February 2026. Once completed, the Swiss government will finalize and implement the framework, potentially reshaping how digital assets interact with the country’s traditional banking system.
Licensed institutions like Sygnum, SEBA, and Amina Bank — already active in blockchain-based finance — are expected to play a central role in rolling out stablecoin services under the new regulatory umbrella.
Experts believe the Switzerland Stablecoin regulations represent not just another crypto law but a strategic economic initiative. By aligning financial integrity with digital asset innovation, Switzerland is reaffirming its reputation as a trusted, forward-thinking global financial leader.
As Dea Markova aptly summarized, “This is Switzerland doing what it does best — combining precision, prudence, and progress.”
