Digital assets and the tokenization of everything are here to stay. Especially in the past months, record-breaking funding rounds, innovative product launches, and a growing interest in new financial products have dominated global news cycles. At traditional auction houses such as Sotheby’s and Christie’s, artworks converted into non-fungible-tokens (NFTs) are sold for unbelievable prices. At the same time, the cryptocurrency policies of one carmaker are captivating entire markets and nations. In April 2021, Nasdaq valued the leading cryptocurrency exchange, Coinbase, at $76 billion, turning it into one of the 120 most valuable public companies in the U.S.

An ecosystem map highlighting the 40 most important players

Switzerland and its Crypto Valley have always been a pioneer with key globally connected players. To understand how things got this far in the first place and where this fascinating journey is leading, CV VC, the Swiss Blockchain Federation and Alexander E. Brunner have launched the first Swiss Digital Asset and Wealth Management Report. The report aims to become a reference publication for a growing industry branch within the financial sector. CV VC already has two standard reports for the Crypto Valley: the CV VC Top 50 Report and the CV VC Global Report.

The Swiss Digital Asset and Wealth Management Report includes for the first time a digital asset ecosystem map highlighting the 40 most important players. The map illustrates the substance and diversity of this nascent industry branch in Switzerland. The report’s author, Alexander E. Brunner, conducted almost 100 interviews with representatives from the economy, politics, and academia to create a clear picture of digital assets in Switzerland.

This map represents the first systematic assessment to categorize and cluster the various providers at different levels. The five digital asset ecosystem categories include:

• Advisory & wealth managers;
• Service providers;
• Asset managers;
• Custodians;
• Trading & brokerage.

Increased attention on Switzerland

In an exclusive interview for the report, former FINMA CEO Mark Branson stated that cross-border payment systems are “ripe for innovation” as fees tend to be high and highly intransparent. Therefore, new payment projects are welcomed as long as they satisfy three criteria: security, compliance and client protection. In his view, blockchain technologies promise streamlined processes. According to Branson, as a regulator, one has to be technology-neutral. A simple regulatory principle for him is “same risks, same rules.”

Switzerland has long been a leading financial center. However, its large banks have so far pursued a ‘wait-and-see’ approach when it comes to digital assets. More recently, incumbent hedge funds and investors are increasingly beginning to consider digital assets in their strategies and thus reinforce market demand.

The first Swiss Digital Asset and Wealth Management Report can be downloaded here.

Three take-ways:

• The Swiss Digital Asset and Wealth Management Report creates a new reference publication for the financial industry in Switzerland and Crypto Valley.
• 40 key players constitute the Swiss digital asset ecosystem, including advisory & wealth managers, service providers, asset managers, custodians, and trading & brokerage.
• Switzerland has developed a thriving institutional-grade digital asset ecosystem and reinforced its legal and tax framework to position itself as a leading digital asset hub going into the future.