In an attempt to halt the exodus of financial innovation, Switzerland has reportedly made it easier for companies working in the cryptocurrency and blockchain space to open corporate bank accounts.
According to a recent report by Reuters, the Swiss Bankers Association (SBA) on issued guidelines on Friday to banks who may want to do business with the more than 530 digital asset startup companies located Zurich and Zug, known as Switzerland’s Crypto Valley.
Previously, only a handful of cryptocurrency companies were ever allowed to deposit the cash raised through Initial Coin Offerings (ICOs), as banks have largely feared that doing so would lead to unintentionally breaching anti-money laundering (AML) rules and other regulations.
With the new guidelines, there are new know-your-customer and AML checks recommended specifically tailored for ICOs that raised funds in fiat currencies, as well as those that raised through other cryptocurrencies like Ethereum (ETH). Additionally, SBA has emphasized that banks use discretion to differentiate between startups working on blockchain technology and cryptocurrency companies that conducted an ICO.
SBA Strategic adviser, Adrian Schatzmann, said in a recent press conference, “We believe that with these guidelines, we’ll be able to establish a basis for discussion between banks and innovative startups, making the dialogue simpler and facilitating the opening of accounts.”
The SBA believes these new guidelines will provide clarity not only for the banks but also for the blockchain and cryptocurrency companies looking to access traditional banking services for day-to-day activities.
More: Switzerland tries to stem blockchain exodus by improving access to banks
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Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.