Switzerland has launched a public consultation for stablecoins through a proposal that introduces a new regulatory framework for issuers under FINMA oversight.
Summary
- Switzerland has opened a public consultation for a new stablecoin licensing framework under FINMA oversight.
- Industry experts believe stablecoins could strengthen the Swiss franc.
Swiss regulators published the proposal on Oct. 22, which seeks public and industry feedback on how to structure a regulated framework for stablecoin‑based payment instruments.
Even though Switzerland has moved relatively late compared to other financial hubs like Singapore and Dubai, industry experts, according to a recent Financial Times report, believe the country stands to benefit from stablecoins and its cautious pace allows it to learn from others and avoid early missteps.
The proposal outlines plans to create a new license category for payment instrument institutions that issue “value‑stable blockchain‑based tokens.” They would also be required to fully back those tokens with high‑quality liquid assets, maintain segregated reserves, and disclose key information in a publicly available whitepaper approved by FINMA.
At the same time, Switzerland will treat foreign‑issued stablecoins that are merely traded in the country as crypto assets rather than legal payment instruments. However, offshore issuers will not be forced to relocate or hold duplicate reserves in Switzerland as long as they do not issue tokens domestically.
Among other measures, the draft law requires issuers to notify FINMA at least 60 days before launching a stablecoin and ensures that holders have a legal right to redeem tokens at face value within a short period.
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“Switzerland has taken its time to learn lessons — from the EU, the US and others,” Fireblocks policy director Dea Markova told FT, adding that stablecoins could be a “game changer” for building out the country’s tokenised asset and bond markets.
“To have that market, you need tokenised money — cash on chain — and that’s what this framework is really about,” Markova said.
Switzerland’s stablecoin push could also bolster confidence in its monetary framework, according to 21Shares founder Hany Rashwan, who said such tokens could “support the strength of the Swiss franc, its stability and sovereignty.”
The consultation is open until February 2026, following which the Swiss government is expected to finalize the legislation and move toward implementing the framework.
Stablecoins have long been a functional part of Switzerland’s crypto ecosystem and have been used for everything from retail payments and e-commerce to municipal taxes and cross-border finance. However, until now, they were regulated under existing Swiss financial market laws such as the Banking Act and the Anti-Money Laundering Act, without a dedicated licensing regime specifically designed for stablecoins as payment instruments.
Last year, FINMA published guidance for stablecoin issuers focused on addressing the associated risks and challenges.
Licensed banking institutions in the country, like Sygnum, SEBA, and Amina, have already integrated stablecoins into their offerings for settlements, trading, and institutional services.
Stablecoin regulations across the globe
With demand for stablecoins expected to skyrocket, several jurisdictions have introduced or accelerated efforts to regulate the sector. Much of the momentum picked up pace after the introduction of the GENIUS Act in the United States, which was signed into law in July 2025 to define clear federal rules for fiat‑backed stablecoins.
Since then, major economies like the European Union, Japan, United Kingdom, along with smaller but tech-forward jurisdictions such as Singapore and Hong Kong, have launched efforts to outline standards for stablecoin issuance, custody, and redemption.
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