Well known for being a safe haven jurisdiction during times of global crisis and economic contractions, Switzerland is having its moment in the spotlight.
This was demonstrated clearly when the Financial Times reported on the 19th of March that one of its largest financial institutions, Credit Suisse, was “on course to deliver strong performance in the first quarter of the year, despite the market chaos”.
Read: The Historic Past of Credit Suisse to its Fintech Future
The mountainous country is famous for its gold reserves and refineries, which have seen a steady uptick in demand lately.
— Gold Telegraph (@GoldTelegraph_) March 20, 2020
With it also hosting the Bank for International Settlements (BIS), the central bankers’ bank (we wonder abut the discussions raging about unlimited QE and UBI) in Basel, it has arguably the most secure banking system in the world.
But the appeal of Switzerland for investors today is not just about the precious yellow metal and BIS’ helpful presence but also that of Bitcoin.
Because over the past few years Switzerland has been carving out a niche with crypto enthusiasts by building up the ‘Crypto Zug‘, a region of Switzerland dedicated to blockchain.
Did you know that the Swiss city @stadtzug is also known as @thecryptovalley? The Crypto Valley Association is aiming to bring awareness and blockchain-related businesses to Zurich as well. Already 150 companies in this field are located in #zurich.💻
— Swiss Consulate Atlanta (@SwissCGAtlanta) March 18, 2020
According to Bitcoin.com there are now “more than 800 crypto firms based in Switzerland and Liechtenstein”, and three have even been granted banking licences.
And Bitcoin is coming to a very interesting point in time owing to the newly ‘mined’ creation of Bitcoin ‘halving’ sometime in May – perhaps why Bitcoin Suisse has been on a hiring spree despite the disruptions from COVID-19.
“Sometime in May, the number of bitcoins (BTC) entering circulation every 10 minutes (known as block rewards) will drop by half, to 6.25 from 12.5. It’s a milestone that’s easy to see coming because it happens every four years and has happened twice before.” – Coindesk
With the pandemic threatening anyone who uses cash for daily transactions, digital alternatives are coming further into the spotlight.
But don’t take our word on it, listen to Charlie Shrem’s UntoldStories podcast. Shrem has been involved in the cryptosphere since 2011, formerly sat as the Vice-Chairman of the Bitcoin Foundation and one of the numerous cryptocompanies (yes we made that word up) he founded, BitInstant, once processed 30% of all Bitcoin transactions.
What’s Next for Global Markets Post COVID-19? Listen at https://t.co/OPfZCStjSx
— Charlie Shrem (@CharlieShrem) March 24, 2020
Switzerland’s foremost incubator and accelerator, F10, is probably very busy.
— F10 (@F10_accelerator) March 20, 2020
And yes, we know what the current spot price of gold and Bitcoin is and how they simply don’t reflect true market value right now. But that gap in gold is set to close.
When it does, gold is set to skyrocket far higher.
When the halving comes, BTC is set to skyrocket far higher.
And one country wins: Switzerland.
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