Switzerland is forging ahead with a bold new chapter in cryptocurrency regulation, aiming to solidify its place as a global leader in digital finance. In late October 2025, the Swiss Federal Council launched a formal consultation proposing amendments to the country’s financial laws, specifically targeting stablecoins and other crypto-assets. These changes are designed to foster technological innovation while reinforcing Switzerland’s reputation for strong regulation and financial stability.
The draft legislation introduces two new licensing categories within the existing Financial Institutions Act: the “Payment Instrument Institution” and the “Crypto Institution.” This move marks a significant expansion in official oversight and is expected to ensure greater consumer and investor protection. Notably, new rules would apply to stablecoins that peg their value to national currencies and offer redemption rights, distinguishing them from other cryptocurrencies used mainly for trading purposes.
Switzerland’s approach builds on its earlier blockchain-friendly reforms, such as the “DLT Act,” which amended existing laws to accommodate digital assets and distributed ledger technology. The country continues to stand apart from the European Union’s regulatory path, but Swiss crypto firms serving EU customers will need to comply with EU rules like the Markets in Crypto-Assets Regulation (MiCA).
Regulators are also tightening anti-money laundering measures. Swiss authorities have steadily lowered thresholds for customer identification and mandated technological solutions to prevent abuse—highlighting their commitment to safeguarding market integrity.
The consultation period for the new proposals runs until early February 2026. Lawmakers will then review feedback and further refine the draft legislation, with new regulatory requirements unlikely to come into effect before 2027. As Switzerland “crosses the crypto Rubicon,” it is not only adapting to the rapid evolution of digital assets but also setting new international standards for trustworthy innovation in fintech and crypto services.