In a wake of blockchain and crypto-focused laws by Japan, Swiss parliament approved the motion presented to launch regulations on crypto assets. Following the motion approval in the National Council or lower House of Switzerland’s federal legislature, it will now be reviewed by the parliament’s upper house ( Council of States).
Votes in Favors of Crypto Regulations
As per the Swiss news media outlet, National Council received the majority of votes that favors crypto regulations within the country. A motion to adopt a regulation for digital currency had presented in the lower house of Switzerland parliament by Giovanni Merlini. The latest press reports on March 21 revealed that the motion was approved with 99 to 83 votes while 10 declines to vote. As a result of major votes favoring the laws on cryptocurrency, the National Council approved a motion.
The National Council approved a motion by Giovanni Merlini by 99 votes to 83 with 10 abstentions. It calls on the Federal Council to adapt the provisions on judicial and administrative procedural instruments so that they also apply to cryptocurrencies such as bitcoin.
To note, a motion was presented by Giovanni Merlini who is a liberal public representative in the Federal Assembly. The motion instructs and influences federal assembly to look after the crypto industry in Switzerland. Referring to motion, he argued that such regulations will help the country reduce the crime and existing gap in the market which is indirectly affecting an investor’s interest. While Merlini talks in favors, many others argued in all opposite view thus with 83 votes, the motion approval wasn’t easy. Few people also raised a question on the crypto trading platform – whether these exchanges be regulated as financial intermediaries or will be regulated under FINMA the Swiss Financial Market Superiority Authority.
Cryptocurrencies can be issued by anyone with a decentralized, cryptographic-based peer-to-peer network, argued Merlini. A large part of the crypto currencies was also completely anonymous, which favored extortion and money laundering. In addition, it should be clarified how risks can be contained and whether the persons responsible for the cryptocurrency trading platforms should be treated as equivalent to the financial intermediaries and placed under the supervision of the Financial Market Authority Finma.
As a result of the discussion, it was decided that the crypto exchanges will be recognized as financial institutions and will then be overseen under the purview of FINMA. Merlini earlier claimed that the use of cryptocurrency can help the country reduce criminals for various acts such as money laundering.
As for now the motion is approved in the lower house of the Swiss parliament and will now be considered by the upper house. Stay tuned with Coingape to know the proceeding matter of the motion.
Note – the quotes mentioned above are translated via Google translator
Tabassum is a full-time content writer at Coingape. Her passion lies in writing and delivering apt information to users. Currently, she does not hold any form of cryptocurrencies. Follow her on Twitter at @Tabassumnaiz and reach out to her at Tabassum[at]coingape.com