Switzerland FINMA Frameworks
Switzerland is a highly attractive jurisdiction for Security Token Offerings (STOs) due to its clear and supportive regulatory environment. Governed by the Swiss Financial Market Supervisory Authority (FINMA), Switzerland’s regulatory frameworks cater to both experienced institutional investors and the general public. Issuers can choose from three main approaches: Qualified Investor Exemption, Small Offers Exemption, and Full Registration for Public Offerings. Here’s a detailed explanation of each framework, written in simple terms for better understanding.
How to Choose the Right Framework in Switzerland
If you’re targeting only institutional or professional investors:
Use the Qualified Investor Exemption for unlimited fundraising with minimal compliance.
If you’re raising less than CHF 8 million and want to include retail investors:
Use the Small Offers Exemption for a simplified process without the need for a full prospectus.
If you’re raising large amounts from both retail and professional investors:
Use Full Registration to access the general public and maximize your fundraising potential.
Why Switzerland is a Great Choice for STOs
Switzerland is known for its business-friendly environment and clear regulatory framework for tokenized offerings. The country’s proactive stance on blockchain technology and innovation makes it a global hub for tokenization projects. Whether you’re targeting professional investors, retail investors, or both, Switzerland offers flexible options to meet your goals.
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