Switzerland’s Journey to Become Europe’s Crypto Hub

Post views: 212

14 companies in the Swiss blockchain industry are worth more than $1 billion, the country says.

Globally, there are about 900 “unicorns” – start-up companies that are privately owned and worth over $1 billion. Most of them are in Europe, China, USA, India and Israel.

The value of the top 50 Swiss companies increased nearly fivefold to $611.8 billion at the end of last year, compared to the value of the same companies in 2020.

Residents of Switzerland and the neighboring principality of Liechtenstein were home to around 1,128 blockchain companies and businesses at the end of 2016, up 18%. There were just over 6,000 people working there, up 16% from previous years.

In the VC Top 50 CV, people who have done it say that Switzerland is the best place to start a blockchain business.

The regulatory environment in the Swiss Crypto Valley and the number of experts, service providers and academic institutions in the region keep things going.

There has been a lot of talk about how the Swiss government put in place a legal framework for using distributed ledger technology last year, as well as how security tokens could be traded on secondary markets. regulated.

Over the next few years, more than half of Swiss banks plan to offer digital asset services.

Switzerland’s rivals in the offshore world are Europe, the Cayman Islands, Gibraltar, the British Virgin Islands and, most notably, Liechtenstein, which has a lot of finance.

Some of the banks in these places seem very open to crypto projects that offer a wide range of services to the crypto industry.

Recent discussions between the Ministry of Finance, the Swiss National Bank, the regulator FINMA, the bankers association and people working in the crypto industry focused on how to make banking services more accessible to venture capitalists. and to make Switzerland more attractive as a place to do business in the future.

Europe is now the largest cryptocurrency economy in the world, with the continent receiving over €870 billion worth of crypto last year, making it the largest market in the world.

A new report from blockchain data firm Chainalysis has revealed that Central, Northern and Western European (CNWE) countries account for 25% of all global cryptocurrency activity.

Many people from the CNWE region traded a lot of cryptocurrency in the UK, which earned about 145 billion.

Crypto trading volumes in Europe began to increase around mid-2020 at the same time as they declined in East Asia, which was the cryptocurrency capital of the world at the time.

Europe is now the largest cryptocurrency economy in the world, with the continent receiving over €870 billion worth of crypto last year, making it the largest market in the world.

A company called Chainalysis claims that Europe’s growth was mainly caused by “whales”, large institutional investors who bought and sold a lot of cryptocurrency.

In July 2020, the CNWE cryptocurrency economy began to grow faster than before.

During this time, we saw a huge increase in large institutional-sized transactions, which meant transfers of over $10 million (€8.5 million) worth of cryptocurrency in the Chainalysis report.

The company’s data shows the scale of this growth.

In July 2020, approximately €1.2 billion will change hands between the major institutions.

By June 2021, this figure had risen to 39.6 billion euros. At that time, whales were responsible for more than half of all crypto transfer volume in the CNWE zone.

Many large institutional deals in Europe have gone to “decentralized finance” platforms, according to a report.

There are a lot of people who invest in DeFi platforms because there are ways to stake cryptocurrency, which means long-term holders can make money from interest payments if they lend the crypto they own to DeFi protocols.

In Europe, Switzerland and other parts of the world, it seems that decentralized finance is taking off. They plan to stay on top for a long time.