Switzerland’s Federal Council has approved a bill enabling the automatic exchange of cryptocurrency-related tax information with 74 countries, marking a significant step towards global financial transparency. The first data exchanges are expected to commence in 2027.
The initiative aligns with the Organisation for Economic Co-operation and Development’s (OECD) Common Reporting Standard (CRS), aiming to combat tax evasion and enhance international cooperation. Countries included in the agreement encompass EU member states, the United Kingdom, and most G20 nations, excluding the United States, Saudi Arabia, and China.
Under the new framework, Swiss financial institutions will be required to collect and share information on crypto asset holdings of foreign clients with their respective tax authorities. This move is part of Switzerland’s broader efforts to shed its image as a tax haven and align with global standards.
The decision has garnered mixed reactions. Proponents argue it enhances Switzerland’s credibility and supports international tax compliance, while critics express concerns over data privacy and the potential impact on the country’s financial sector.
As the global landscape of cryptocurrency regulation continues to evolve, Switzerland’s proactive approach may influence other jurisdictions to adopt similar measures, further integrating digital assets into the traditional financial system.
