Bern has joined the Swiss Blockchain Federation as the next Swiss canton. The initiative came from the tax administration, whose specialists are already active in the industry organization's tax working group. Bern is the sixth canton to join the public-private partnership founded in 2018.
With this membership, the canton positions itself strategically in an ecosystem that has grown 132 percent since 2020 and now encompasses 1,749 active companies in Switzerland and Liechtenstein. The membership enables Bern to participate more actively in shaping tax and regulatory frameworks for blockchain technologies. The Swiss Blockchain Federation has around 80 members, including the cantons of Geneva, Neuchâtel, Ticino, Zug, and Zurich, as well as numerous companies, organizations, and banks.
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Tax administration as driving force
The membership stems from an initiative by Bern's tax administration, which has been engaged in the Swiss Blockchain Federation's tax working group for some time. This working group addresses tax issues related to cryptocurrencies and blockchain technologies and develops practical solutions for taxing digital assets.
The expertise of Bern's tax specialists thus flows directly into the development of nationwide standards. This is particularly relevant given the increasing prevalence of cryptocurrencies. The Federal Tax Administration (FTA) publishes official tax values for the most well-known cryptocurrencies such as Bitcoin, Ethereum, and XRP on the direct federal tax rate lists.
Specific regulations apply to private investors in Canton Bern: The canton never classifies securities trading, including cryptocurrencies, as commercial as long as securities holdings remain below 200,000 francs. This practice provides individuals with legal certainty when declaring their digital assets. Cryptocurrencies are subject to wealth tax and must be declared at the year-end rate of the trading platform used. Capital gains from sales held in private assets remain tax-free, while passive income from mining, staking, or lending is taxed as investment returns.
Growing importance of the blockchain industry
Bern's entry into the Swiss Blockchain Federation comes at a time when Switzerland's blockchain industry is showing remarkable momentum. Crypto Valley, which geographically encompasses all of Switzerland and Liechtenstein, recorded an average annual growth rate of 18.8 percent between 2020 and 2024. The number of active blockchain companies alone increased by 14 percent from 2023 to 2024.
The geographic distribution of companies shows increasing diversification across all Swiss cantons. While Zug as the nucleus of Crypto Valley holds the dominant position with 41 percent of all companies (719 firms), Zurich follows with 15 percent (264 companies). Ticino (103), Geneva (85), Neuchâtel (85), and Lucerne (72) demonstrate the increasing national spread of blockchain activities. Notably, Zug's share of new formations has risen from 35 percent in 2020 to 49 percent in 2024.
The legal structure of blockchain companies has also evolved. While corporations (55 percent) and limited liability companies (30 percent) dominate, associations and foundations accounted for over 20 percent of new formations in 2024, compared to 10 percent of all active companies. This indicates an increasing importance of non-profit and governance-oriented structures in the blockchain sector.
12-point program for Switzerland's financial center
In May 2025, the Swiss Blockchain Federation, together with the Crypto Valley Association and the Bitcoin Association Switzerland, published a comprehensive 12-point program to strengthen Switzerland's financial center. The manifesto addresses central challenges and formulates concrete areas of action for the development of the blockchain hub.
Core demands include strengthening innovation-friendly framework conditions, with FINMA to define innovation as a strategic goal again and report on progress. The program calls for technology-neutral and proportionate regulation, where requirements for crypto service providers and stablecoins must be competitive and clearly differentiated. A central point concerns binding deadlines for FINMA approval procedures. Licensing processes should follow a clear structure and be completed within six months.
The program also calls for the introduction of central bank digital currencies for payment transactions. Additional points include the use of technology for compliance processes, greater autonomy for self-regulatory organizations, and the removal of barriers to foreign investment.
Strategic positioning in international competition
With its entry into the Swiss Blockchain Federation, Bern positions itself in an increasingly competitive international environment. Switzerland competes with jurisdictions such as Singapore, Dubai, and individual US states for the settlement of innovative blockchain companies. Switzerland's progressive regulation, combined with political and financial stability, provides a decisive locational advantage.
The membership enables Bern to participate directly in the development of industry standards and bring the canton's interests into dialogue with federal authorities. This is particularly relevant with regard to the implementation of international standards such as the Crypto-Asset Reporting Framework (CARF), which introduces new reporting obligations for crypto service providers. The Swiss Blockchain Federation organized a specialist event on CARF in October 2025 to prepare companies for the new requirements.
Cooperation among cantons within the Federation enables an exchange of experience in the practical implementation of regulatory requirements. While Zug and Zurich are established blockchain hubs, cantons such as Geneva, Neuchâtel, and Ticino bring different perspectives. Bern's entry expands this diversity with the expertise of a canton with a traditionally strong administrative culture and pronounced service orientation.
