Setting up a crypto exchange or digital asset company in Switzerland: which FINMA authorisation applies to your activity

There is no single crypto licence in Switzerland

Search for “crypto license Switzerland” and the first page of results will offer you a three-stage process leading to a single permit, sometimes with a price tag attached. That product does not exist. Swiss financial market law does not define a crypto licence, a crypto exchange licence or a VASP licence. It defines activities, and attaches a supervisory regime to each of them. At My Swiss Company SA, qualifying the activity therefore comes before incorporating anything.

This matters far beyond terminology. A founder who buys a “licence package” without qualifying the activity first typically ends up in one of two situations: holding an authorisation that does not cover what the business actually does, or operating without the one that it does need. Both are expensive to unwind, and the second exposes the directors personally.

The related searches on that same query include “crypto license switzerland for sale”. A FINMA authorisation is not a tradable asset. It is granted to a specific institution for a specific activity, and any change of control is subject to supervisory review. Buying a shell that holds one does not transfer it the way a car changes hands.

Qualify the activity before anything else

Every serious Swiss crypto project begins with the same exercise: describing precisely what the company does with assets that belong to someone else. The answer determines the regime, and nothing else does.

Two observations that rarely appear elsewhere. First, these regimes are not alternatives you pick from: several can apply at once, and the FinTech licence in particular brings anti-money laundering obligations with it. Second, most early-stage projects land in the first row, which is not a FINMA authorisation at all.

Financial intermediary status and SRO affiliation

The Anti-Money Laundering Act applies to financial intermediaries, to dealers, and, since 1 October 2026, to a third category of advisers. Financial intermediaries include anyone who, on a professional basis, “accepts, holds on deposit or helps to invest or transfer assets belonging to third parties”. The act then names cases, and two of them catch most crypto businesses: providing services in the field of payment transactions, notably carrying out electronic transfers for third parties; and trading, for their own account or for the account of others, in banknotes, currencies, money market instruments, precious metals, commodities or securities and their derivatives. A further case covers those who hold or manage securities.

Being a financial intermediary does not mean applying to FINMA. It means affiliating with a self-regulatory organisation, which then supervises compliance with due diligence duties. This distinction is the single most common confusion in the English-language pages that rank on this topic: SRO affiliation and FINMA authorisation are not the same thing, are not obtained the same way, and do not cost the same.

Note also that holders of a FinTech licence under art. 1b of the Banking Act, and DLT trading facilities under art. 73a of the Financial Market Infrastructure Act, are themselves listed as financial intermediaries. The anti-money laundering obligations follow the authorisation rather than replacing it.

The FinTech licence: CHF 100 million, and no deposit protection

Article 1b of the Banking Act, headed “promotion of innovation”, applies the banking rules by analogy to persons who are principally active in the financial sector and who accept public deposits of up to CHF 100 million, or crypto-assets designated by the Federal Council, and who neither invest nor pay interest on those deposits or assets.

Both conditions are cumulative. The moment client assets are invested or remunerated, the regime stops applying and a banking licence becomes the question. The act also lists what these institutions must do: define their field of activity precisely and organise themselves accordingly, maintain adequate risk management and effective internal controls covering compliance, hold adequate financial resources, and ensure that the persons responsible for administration and management enjoy a good reputation and guarantee proper business conduct.

Two consequences are almost never mentioned in the pages selling this licence, and they are decisive for anyone holding client assets.

The first is that the provisions on privileged deposits and immediate repayment do not apply to deposits or designated crypto-assets held by these institutions, and depositors must be informed of that restriction before making the deposit. A FinTech licence therefore carries no deposit protection, and telling clients so is a legal obligation, not a courtesy.

The second is what happens when the business grows. Anyone exceeding the CHF 100 million threshold must notify FINMA within ten days and file an application for a banking licence within 90 days. Those two deadlines are short, they run from the moment the threshold is crossed rather than from year-end, and a successful platform can cross it in a single quarter.

Running a platform: the DLT trading facility

If the project is an exchange in the literal sense, a venue where several participants trade against each other, the relevant category is the DLT trading facility. A DLT trading facility is a commercially operated organisation for the multilateral trading of DLT-based securities, aimed at the simultaneous exchange of offers between several participants and the conclusion of contracts on non-discretionary rules, which meets at least one of three conditions: it admits the participants referred to in the Financial Market Infrastructure Act, it provides central custody of DLT-based securities on common rules and procedures, or it clears and settles transactions in DLT-based securities on common rules and procedures.

The word to underline is at least one. The three conditions are alternatives, not a cumulative test, and custody alone is enough to trigger the category. Many projects assume that only a full trading venue qualifies, and design a custody offering that turns out to fall squarely inside the definition.

The act also defines what commercial operation means: any independent economic activity pursued with a view to obtaining regular income. There is no de minimis carve-out for a small venue.

Holding clients’ crypto: what protects it if the company fails

For an exchange, a custody service or a crypto brokerage, the most sensitive question is not the licence but what happens to client assets on the day the company can no longer pay. Swiss law has answered it expressly since 1 August 2021. In bankruptcy, a client can claim the crypto-based assets the company held for it, provided two conditions are met (art. 242a para. 2 DEBA):

• the company has undertaken to hold the assets ready for the client at all times;
• the assets are individually assigned to that client, or allocated to a community in which the client’s share is clear.

An omnibus wallet, which most platforms use, is therefore not a problem in itself. Everything rests on the written undertaking and the internal ledger: if each client’s share cannot be established on the day bankruptcy is declared, clients become ordinary creditors. Where the bankruptcy administration disputes a claim, the client has 20 days to bring an action at the place of bankruptcy, and bears the cost of surrender (art. 242a paras 3 and 4 DEBA).

Custody also shapes the licensing analysis. Payment crypto-assets held in collective custody for clients fall under the FinTech licence once the innovation space is exceeded. The Banking Ordinance excludes, however, unremunerated client balances held solely to execute client transactions by a securities firm or a DLT trading facility, or by a precious metals dealer, asset manager or similar business where execution takes place within 60 days (art. 5a para. 2 Banking Ordinance, French text).

The CHF 1,000 threshold on virtual currency transactions

Switzerland applies its own threshold to virtual currency operations, and it is stricter than most founders expect. Under the FINMA anti-money laundering ordinance, a financial intermediary must verify the identity of the counterparty where a transaction in virtual currency, or several transactions in virtual currencies that appear to be linked, reach or exceed CHF 1,000, provided those transactions do not constitute a transfer of funds or assets and no durable business relationship is attached to them.

Two elements deserve attention. The threshold captures linked transactions, not single ones, so a design that splits activity into smaller operations does not escape it. And where cash or other anonymous means of payment are accepted for the sale or purchase of virtual currencies, the intermediary must take technical measures to prevent the threshold from being exceeded by linked transactions within 30 days. That is a monitoring obligation built into the product, not a policy document.

Company, capital, contributions in kind and the bank account

Underneath the regulatory layer sits an ordinary Swiss company, and the usual choices apply. Most crypto projects incorporate a company limited by shares for its capital structure and its credibility with counterparties; some start as a limited liability company. Our guide to legal forms of business in Switzerland sets out the trade-offs, and the detail of the public limited company is covered separately. The general sequence is described in our guide to incorporating a company in Switzerland.

Capital can be paid up through a contribution in kind, including in cryptocurrencies, but this is a formal procedure rather than a transfer: the contribution must be valued and documented, and the commercial register will examine it. Expect the valuation date, the custody arrangement and the liquidity of the asset to be scrutinised.

The practical obstacle, however, is rarely the incorporation. It is the bank account. Swiss banks apply enhanced due diligence to blockchain businesses, and the Swiss Bankers Association has issued guidance to its members on opening corporate accounts for them. In practice, an account is granted on the strength of a documented source of funds, a clear ownership structure, a compliance framework that exists before the request, and a credible Swiss substance. Our guide on opening a bank account for your company in Switzerland covers the general process; for a crypto business, plan for it in parallel with incorporation rather than after it.

On taxation, the company is taxed like any other Swiss company, which is a different question from the treatment of private holdings. Corporate taxation in Switzerland and Swiss VAT set the framework. Cantonal choice matters for reasons beyond rates: Zug has built a dense ecosystem of counterparties, auditors and advisers around blockchain businesses, which shortens a number of conversations.

What the top-ranking pages get wrong

The English-language results on this topic are dominated by licensing firms based outside Switzerland, and the same errors recur across them.

• Presenting a single process in numbered stages. There is no one procedure, because there is no one authorisation. Qualification comes first and determines everything downstream.
• Treating SRO affiliation and FINMA authorisation as interchangeable. They are different mechanisms with different supervisors, and quoting a single price for “SRO or FINMA” is a sign the distinction has not been made.
• Offering a licence for sale. Authorisations are institution-specific and changes of control are supervised.
• Ignoring deposit protection. The absence of privileged deposits under the FinTech licence, and the duty to inform depositors beforehand, is a structural feature of the regime.
• Overlooking the growth deadlines. Ten days to notify and 90 days to file are the rules that catch successful businesses.

FAQ: setting up a crypto business in Switzerland

Does Switzerland issue a crypto licence?

No. Swiss law contains no crypto licence, crypto exchange licence or VASP licence. Depending on the activity, a crypto business either affiliates with a self-regulatory organisation under the Anti-Money Laundering Act, or applies to FINMA for a FinTech licence, a securities firm licence, a banking licence or a DLT trading facility licence. The qualification of the activity determines which one applies.

What is the CHF 100 million threshold in the FinTech licence?

Article 1b of the Banking Act allows the acceptance of public deposits, or crypto-assets designated by the Federal Council, up to CHF 100 million, on the cumulative condition that those assets are neither invested nor remunerated. Exceeding the threshold triggers two deadlines: notification to FINMA within ten days, and an application for a banking licence within 90 days.

Are client assets protected under a FinTech licence?

No. The provisions on privileged deposits and immediate repayment do not apply to deposits or designated crypto-assets held under article 1b of the Banking Act. Depositors must be informed of that restriction before making the deposit, which is a legal obligation on the institution rather than a disclosure choice.

When does a crypto platform become a DLT trading facility?

When it is a commercially operated organisation for the multilateral trading of DLT-based securities on non-discretionary rules, and it meets at least one of three conditions: admitting the participants defined by the Financial Market Infrastructure Act, providing central custody of DLT-based securities on common rules, or clearing and settling such transactions on common rules. The conditions are alternatives, so central custody alone is sufficient.

What identification threshold applies to virtual currency transactions?

CHF 1,000. A financial intermediary must verify the identity of the counterparty where a transaction in virtual currency, or several apparently linked transactions, reach or exceed that amount outside a durable business relationship. Where cash or other anonymous payment instruments are accepted, technical measures must prevent the threshold being exceeded by linked transactions within 30 days.

Can share capital be paid up in cryptocurrency?

Yes, as a contribution in kind, subject to the ordinary formalities: the assets must be valued and documented, and the commercial register examines the contribution. The valuation date, the custody arrangement and the liquidity of the asset are the points usually scrutinised.

Sources

• Federal Act on Banks and Savings Banks (SR 952.0), art. 1b
• Anti-Money Laundering Act (SR 955.0), art. 2
• Financial Market Infrastructure Act (SR 958.1), art. 73a
• Debt Enforcement and Bankruptcy Act (DEBA, SR 281.1), art. 242a
• Banking Ordinance (SR 952.02), art. 5a and 6 (in French)
• FINMA Anti-Money Laundering Ordinance (SR 955.033.0), art. 51a
• Financial Institutions Act (SR 954.1)
• FINMA, types of authorisation