EU can look to US, Swiss approaches for crypto regulation

Author: Olly Jackson | Published: 22 Feb 2018

The European Central Bank (ECB) recently said cryptocurrency regulation is outside its mandate. This has led to questions as to which body could provide a regulatory framework when it is inevitably introduced.

As it stands, it is unclear what approach European regulators will take; while the bloc's watchdogs have not been shy to insist that cryptocurrencies are not a wise investment, there has been a dearth of guidance provided to offer clues on their approach going forward. The Swiss Financial Market Supervisory Authority (Finma) is one of the few European regulators that has offered wide guidelines for initial coin offerings (ICOs), which could shape crypto regulation for the entire continent.

Finma released its guidance on ICOs last September and since then the Swiss ICO market has flourished. Swiss economics minister Johann Schneider-Ammann said last month that he wanted Switzerland to become the crypto nation, and four of the world’s 10 biggest ICOs ever...