Switzerland Issues Roadmap to Future Capital Markets and Cryptocurrency

The Swiss Blockchain Federation (SBF) has published a manual titled “Tokenized Equity, Guidelines for Issuers of Equity and Related Tokens” that clearly indicates the willingness to give clear indications.

The point of attention of this document is in the awareness that cryptocurrencies can also open to smaller firms the possibility to digitize capital, issue certificates, equity, bonds in line with the regulatory frameworks. In this scenario we talk of assets that are transferable in a few seconds with the possibility of creating a secondary market to allow these businesses to access new sources of financing.

Attracting Blockchain and Cryptocurrency Businesses

With these guidelines, the SBF aims to consolidate and strengthen Switzerland's role as the reference market for these operations and wants to do so by highlighting that these are paths that are not exclusive to large companies only.

The manual focuses on the issue of digitizing the most popular financial instruments or all those that allow investors to have a series of clearly regulated rights. The aim is to ensure that companies and investors can direct their choices towards consolidated and reliable tools to avoid the risk of delays or problems during the evaluation or approval phase.

The document also makes available a series of recommendations relating to the issues of transparency and governance as fundamental components for the development of an innovative capital market based on principles of security and reliability. In the guiding principles of the SBF, there are also indications for foreign companies and organizations which want to evaluate the possibility of issuing security tokens under the umbrella of Swiss regulations.

The tokenization of financial instruments is a great and important opportunity to raise capital and create a secondary market open to many companies that today still have limited access to the capital market.

With the tokenization of these instruments, the doors open to an "Internet of Finance" in the belief that equity tokens are in a position to become an increasingly important area for the future development of the capital market.