Reform, MiCA and the Regulatory Competition — conclusion

Conclusion of Chapter III

After the DLT Act, Swiss crypto regulation has entered a second phase of reform. The proposed licences for payment instrument institutions and crypto institutions would bring stablecoin issuers and crypto service providers under prudential supervision. The European Union's MiCA regime offers a single authorisation with a passport, which Swiss providers can obtain only through subsidiaries in member states or in Liechtenstein. The Basel standard on crypto exposures and the Crypto-Asset Reporting Framework add international layers of regulation, while decentralised finance remains largely unsettled. Switzerland has lost part of the lead that it gained as an early mover, but it retains a stable framework and a complete private law for tokenised securities.

Conclusion of Part H

The regulatory framework for crypto-assets and Digital Assets in Switzerland rests on the principle of technology neutrality. FINMA classified tokens by their economic function in 2018, and the existing laws on banking, securities, financial institutions, market infrastructure and money laundering apply to them according to that classification. The DLT Act of 2020 adapted private law, insolvency law and market infrastructure law, creating the ledger-based security, the segregation of crypto-assets in bankruptcy and the DLT trading facility. The current reform would add licences for stablecoin issuers and crypto service providers. The canton of Zug has no regulatory powers of its own, but it is the place where most of these rules are applied in practice. The following part turns from law to geography and examines the relations between Zug and the East.

In five sentences

Switzerland regulates crypto-assets and Digital Assets through its general financial market laws, which apply according to FINMA's classification of tokens into payment, utility and asset tokens. Banks, securities firms, trading venues and financial intermediaries that deal in crypto-assets are subject to the same rules as in traditional finance, with the travel rule and the staking guidance as specific Swiss additions. The DLT Act of 2020 introduced ledger-based securities, the segregation of crypto-assets in bankruptcy and the DLT trading facility, which together make Switzerland one of the most complete legal environments for tokenised securities. New licences for stablecoin issuers and crypto service providers are in preparation, while the European Union's MiCA regime and international standards have narrowed Switzerland's early lead. Zug applies this federal framework through its commercial register, its tax administration and its courts, and its crypto companies often reach the European market through subsidiaries in Liechtenstein or member states.

For general information only. This article does not constitute legal or tax advice, does not replace advice on an individual case and creates no lawyer-client relationship. It reflects the legal position as of September 2025.