Swiss Fintech License Allows Blockchain, Crypto Firms to Accept $100 Mln in Publ

[Leonardo]

The Swiss Financial Market Supervisory Authority (FINMA) has released guidelines for their new “FinTech” license, according to a FINMA official press release released Dec. 3

The Swiss financial regulator revealed that license pursuants, which can be blockchain-related and crypto-related firms, will be able to apply for the fintech license with the state authority starting from 2019.

The license, which FINMA notes has “relaxed requirements” under the country’s banking ordinance, allows fintech companies to accept public deposits of up to 100 million Swiss francs (CHF), or around $100 million. Within the terms of the license, companies are neither allowed to invest the public deposits nor pay interest on them.

In order to receive the license, an applicant must provide a number of details about their fintech project, including a business description, business financial plan, assets storage method, risk management, anti-money laundering (AML) policies, and others.

The license document, entitled “Guidelines for FinTech licence applications pursuant to Article 1b of the Banking Act,” has been in development since February this year, and is planned to be adopted on Jan. 1.

Earlier in November, FINMA issued Switzerland’s first crypto license, which targeted crypto asset investment funds. The license allows crypto-related firms to legally provide a number of collective investment services, as well as tracking Bitcoin (BTC) and other crypto assets, including domestic funds.

The financial watchdog has previously released guidelines for the regulation of Initial Coin Offerings (ICOs), considering those guidelines as a way of helping blockchain technology.

Source: https://cointelegraph.com/news/swiss-fintech-license-allows-blockchain-crypto-firms-to-accept-100-mln-in-public-funds