The Swiss Chancellery has introduced a proposal to add Bitcoin to the nation’s reserves. The initiative requires 100,000 signatures to progress.
The Initiative and Registration Process
A coalition of ten Swiss crypto advocates, including Tether’s Vice President of Energy and Mining Giw Zanganeh and Swiss think tank 2B4CH founder Yves Bennaïm, has proposed adding Bitcoin to Switzerland’s national reserves. The initiative requires 100,000 signatures to advance a constitutional amendment mandating the Swiss National Bank to hold Bitcoin alongside gold in its reserves. The proposal was initially submitted on December 5 and officially registered in Switzerland’s Federal Gazette on December 31, marking the beginning of an 18-month window to collect signatures.
Resistance and Support
The Swiss National Bank remains cautious about cryptocurrencies. In a November statement, Chairman Martin Schlegel emphasized that despite the significant growth of digital assets, they still represent a 'niche phenomenon' and face limitations due to their volatility, energy-intensive nature, and links to illicit activities. Meanwhile, Switzerland’s Financial Market Supervisory Authority is concerned about the money laundering risks associated with cryptocurrencies.
Current Crypto Industry Situation in Switzerland
However, crypto adoption in Switzerland paints a different picture on the ground. For instance, the Swiss city of Lugano is at the forefront of Bitcoin adoption. The city not only hosts the annual 'Plan ₿' Bitcoin conference but has also embraced Bitcoin for tax payments since December 2023. Furthermore, Switzerland is home to the renowned 'Crypto Valley,' a web3 and blockchain innovation hub in Zug, housing over 1,200 blockchain-focused companies, including 13 unicorns valued at over $1 billion.
The initiative to add Bitcoin to Switzerland’s national reserves faces numerous challenges and requires public support. Nonetheless, the current development in the country's cryptocurrency sector, including local initiatives and existing innovation hubs, indicates a readiness to further explore this opportunity.
