SIX Group, a well-known stock exchange in Switzerland, is currently making plans to launch a cryptocurrency trading platform in Europe. Six Group aims to leverage its reputation and Switzerland’s advanced cryptocurrency-friendly laws to attract traditional crypto investors.
SIX Group’s global head of exchanges, Bjørn Sibbern, mentioned that the exchange is currently exploring setting up a platform that will enable the trading of both spot cryptocurrencies and derivatives.
Switzerland’s Six Group Stock Exchange Eyes Crypto Trading Platform In Europe
According to the Financial Times reports, Switzerland’s stock exchange, SIX Group, may soon launch a crypto trading platform for Europeans to compete with giant crypto exchanges like Coinbase, OKX, and Binance.
Bjørn Sibbern, while applauding the move, stated that crypto assets are increasingly becoming legitimate in the region. The stock exchange plans to take advantage of its reputation as well as the Swiss crypto-friendly regulations to attract local institutional cryptocurrency investors.
TradFi Firms Shying Away From Crypto TradingÂ
Several traditional finance (TradFi) firms are avoiding dealing with cryptocurrency due to its lack of precise regulation as well as fear of damaging their reputations. At the same time, those who managed to launch a crypto-related business separate themselves from it.
For instance, Nomura, Standard Chartered, and Deutsche Boerse have launched their cryptocurrency trading platforms as entities different from their main businesses.
CBOE Global Markets closed down its spot cryptocurrency platform earlier this year due to a lack of precise regulation.
Although CME Group attempted to launch its Bitcoin trading platform last May, the exchange’s chief executive later announced that the group has no intention of launching a crypto platform.
SIX Group’s Crypto Trading Platform To Target Only Institutional InvestorsÂ
Bjørn clarified in its statement that SIX Group’s crypto trading platform would be exclusively for large institutional investors when launched.
This adds the stock exchange to the growing number of institutions that are currently exploring opportunities in cryptocurrency in the country.Â
While targeting large institutional investors, SIX Group would leverage Switzerland’s cryptocurrency-friendly environment, where there are clear regulations to govern crypto trading and custody.
Last July, the Swiss Financial Market Supervisory Authority (FINMA) released guidance to address the various challenges and risks faced by banks and stablecoin issuers when providing their services.
In the guidance, FINMA emphasized the importance of verifying the identities of stablecoin holders for issuers to mitigate risks.
Switzerland Offers Crypto-friendly Environment To Investors
This recent move by SIX Group shows Switzerland’s openness to cryptocurrency.Â
Earlier this month, Switzerland’s fourth-largest bank, Zürcher Kantonalbank, announced the launch of its mobile-friendly Bitcoin (BTC) and Ethereum (ETH) service for retail customers.
More so, considering the shares that Switzerland’s central bank, Swiss National Bank, holds in MicroStrategy, it’s evident that the country has a positive stance on cryptocurrency.
