Switzerland Opens Consultation on Stablecoin Rules

Switzerland’s FINMA Drafts New Stablecoin Framework

Switzerland has opened a public consultation on a proposed regulatory framework for stablecoins, marking a significant step toward formal oversight of digital payment tokens in one of the world’s leading financial hubs.

The proposal was published on October 22 by the Swiss Financial Market Supervisory Authority (FINMA) to establish a specific licensing framework of issuers of tokens based on blockchain and value stable. The relocation aims to reconcile innovation and financial stability as stablecoins take over as a central part of the global smart finance.

Switzerland Plans New Licensing Rules for Stablecoins

The draft law would require issuers to fully back their holdings with high-quality liquid assets, maintain segregated reserves, and publish a white paper on their issuance (subject to FINMA approval). It would also introduce a new category of payment institutions authorized to issue and manage such digital assets.

Notably, the trading of foreign-issued holdings within the jurisdiction would not be recognized as legal payment instruments but rather categorized as smart assets. Unless the assets are issued locally, offshore issuers would not be required to relocate operations or maintain duplicate reserves in the country.

The issuers will also be required to inform FINMA at least 60 days prior to the release of any new stablecoin and to make sure that the holders can redeem the holdings at face value within a brief time.

Observers in the industry believe that this cautious yet calculated approach could prove effective. The country has been slow to draw lessons from the EU, the US, and others, according to Fireblocks policy director Dea Markova, in remarks to the Financial Times. She described the initiative as a potential game changer for opening up the nation’s tokenized asset and bond markets.

Markova also added, to have such a market, you need tokenized money, cash on chain, and that is what this framework is all about.

Switzerland Aims for Balanced Digital Asset Policy

The program may also help to strengthen trust in the monetary system of Switzerland, according to the founder of 21Shares, Hany Rashwan. According to Rashwan, the Swiss franc can be empowered by stablecoins, and their stability and sovereignty.

Consultation will continue until 2026 when the Swiss government is likely to complete and apply the new law.

Since the country already has smart payment assets as a well-established part of its financial landscape used in retail transactions, e-commerce, local taxes, and cross-border operations they have so far operated under broader regulations, including the Banking Act and the Anti-Money Laundering Act, without the need for more specific rules due to their unique nature. The new proposal by FINMA builds on the measures introduced last year to mitigate the risks associated with such issuers.

The incorporation of stablecoins in settlement, trading and institutional services by Swiss banking institutions, such as Sygnum, SEBA, and Amina, is an indicator of the maturity of the sector.

Stablecoin regulation is gaining pace around the globe. The GENIUS Act signed into law on July 2025 by the United States gave explicit federal regulations regarding fiat-backed tokens. The European Union, Japan, the United Kingdom, Singapore and Hong Kong have since followed suit and similar moves have been made establishing the groundwork to a more harmonised international framework.

The nation could join that list not the quickest mover, but likely one of the most balanced and forward-thinking regulators in smart finance.