Business · Companies · 11 hrs ago
Swiss bankers seek easier rules for a franc stablecoin
The Swiss Bankers Association is urging looser rules for a Swiss franc stablecoin as the country revises its financial law.
A stablecoin is a digital payment token designed to keep its value tied to a currency, in this case the Swiss franc.
The association says banks should be allowed to issue one directly, rather than through separate subsidiaries, and wants rules on reserves and money laundering to be workable and competitive.
The group says Switzerland risks falling behind the European Union and the United States, which already have specific rules for crypto-assets and stablecoins.
It argues that a local issuer could be supervised by Swiss authorities and keep expertise and business activity in the country.
The association also warns that large stablecoin holdings could strain bank funding, while a rush to withdraw them could put issuers’ reserves under pressure.
The government has proposed changes to the Financial Institutions Act, and its proposal is expected to go to parliament next year.
The Swiss Bankers Association is calling for rules that let Swiss banks issue franc stablecoins directly under their existing banking licences.
The association says the upcoming revision of the Financial Institutions Act should avoid disadvantaging domestic issuers and should align anti-money-laundering rules with those in other currency areas.
A draft from the Swiss government would require banks to set up separate subsidiaries to issue stablecoins.
The association also wants more flexibility in the assets that can back stablecoins.
The government launched its proposed law changes for consultation in October 2025, with a message to parliament expected next year.
- Who
- The Swiss Bankers Association, including chief economist Martin Hess, is calling for changes.
- What
- It wants competitive rules for franc stablecoins, including allowing banks to issue them directly under their existing licences.
- When
- The demands were presented on Thursday, 29 October 2026.
- Where
- At a media event in Zurich.
- Why
- The association says Switzerland needs to keep pace with international developments and avoid disadvantaging domestic providers.
Swiss Bankers Association
Swiss government draft
Bank issuance
Swiss Bankers Association
Banks should be allowed to issue stablecoins under their existing banking licences.
Swiss government draft
Banks would have to establish separate subsidiaries with payment-institution licences.
Switzerland’s financial regulator introduced a whitelisting requirement for stablecoin providers, limiting transfers to fully identified people.
The Swiss Federal Council opened consultation on changes to the Financial Institutions Act intended to improve the framework for stablecoins.
Germany-regulated AllUnity launched CHFAU, a stablecoin pegged to the Swiss franc.
The Swiss Bankers Association presented a paper setting out its demands for a franc stablecoin.
- Proposed law
- Revision of the Financial Institutions Act
- Government draft
- Requires banks to establish separate subsidiaries to issue stablecoins
- AllUnity stablecoin
- CHFAU, launched in February 2026
- CHFAU volume
- About 35 million Swiss francs
- Swiss Stablecoin AG test
- CHFD, developed with a consortium including several large banks and financial companies
2 sources
What people are saying
The question is no longer whether we have to deal with stablecoins in Switzerland, but how we shape them.
The point of no return has been reached.
Regulation must also work in practice.