One of the richest countries in the world, Switzerland has decided to create guidelines for local startups to be able to raise capital through the ICO. The measure can be considered as one of the most important stages in order to become a leading country in a crypto-currency power.
Switzerland crypto-currency nation
Most countries of the world adopt strict rules against ICO and crypto currency. Some countries have even banned the ICO at all, like China or South Korea. But Switzerland is trying to find a different approach to these new ways of raising funds.
The principles of ICO are divided into three categories
Payment Initial Coin Offerings
This category refers to ICO funds that can be transferred and can be used as a means of payment. Obviously, the ICO will have to comply with the rules for combating money laundering, but they will not be considered financial securities.
Utility Initial Coin Offerings
As the name suggests, these are ICOs that issue tokens that can be used to provide access to a product or service. They are not considered securities if they serve as a service.
There are several ISOs that sell shares to investors who will provide future profits in the form of dividends or regular income. This will be securities, and they will be subject to the regulation of financial securities.
According to the Minister of Economy, Johann Schneider-Ammann, the country wants to become a "crypto-nation". There are several ICO in the country, as well as good conditions for miners in the country, which allows diversifying their farms around the world. The cost of electricity is reduced for production purposes, and in winter temperatures are generally low, which helps maintain the cooling of the mining farms.
According to the Financial Times, the Ministry reported:
"We believe that there is a huge potential, but the market is not as disciplined as we want. We want the ICO market to flourish, but without compromising the standards or integrity of our financial markets. "
Taking various measures, the government seeks to attract more crypto and blockbuster enthusiasts and investors.
Author: Yevgeny Yakubenko, Analyst Freedman Club Crypto News
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