The Swiss Federal Assembly has approved a motion that aims at regulating cryptocurrencies .The motion seeks to instruct the Federal Council to make changes to current legislation in order to implement cryptocurrency regulation. The Swiss Federal Assembly is the legislative branch of the Swiss government. It was Giovanni Merlini, a Liberal member of the Assembly, who had the initiative for this motion.
The motion would have the Federal Council making changes to existing provisions on procedural instruments of judicial and administrative authorities. The main goal is to adapt all these provisions and instruments so they can also be applied to cryptocurrencies. On a voting, the motion was approved with 99 votes in favor, 10 abstentions, and 83 votes against.
With this development, the legislators expect to tackle some problems that cryptocurrency users face. These problems include some illicit activities like extortion and money laundering. The new legislation will likely curb the risks associated with the use of cryptocurrencies. Additionally, the exchanges and other platforms trading cryptocurrencies will be legally considered financial intermediaries.
This means that any entity dealing with cryptocurrencies will be subject to financial market supervision. After the approval, Ueli Maurer, the Swiss finance minister, stated the proposed developments go beyond the original scope of the regulation.