A BlockNovum report takes an in-depth look at the Swiss blockchain startup ecosystem. It shows not only the rapid growth of the industry but also its diversity. As blockchain is growing in Switzerland, regulators try to remove roadblocks and pave the way into the future.
BlockNovum – a Switzerland-based blockchain research and consulting firm – has analyzed the Swiss blockchain startup landscape. The report “Swiss Blockchain Newcomers 2018” identified and assessed over 100 blockchain-related projects that were launched in 2018.
The report comes with a Newcomer Map that lists all new startups and classifies them in five different categories: Financial, Organizational, Technology & Infrastructure, Personal Use and Retail & Entertainment.
Most startups are finance-focused
The report lists 106 new blockchain startups. 52 are building blockchain-based finance applications.
22 startups were in the organizational category, meaning they are involved with logistics, energy or governance. Technology & Infrastructure listed 18 startups, Retail & Entertainment and Personal Use came in last with seven projects each.
BlockNovum also short-listed 10 projects which they believe make great use of the technology and have the potential to disrupt their industry. The report includes a detailed analysis and company profile of the startups selected as top 10.
Report highlights rapid growth and diversity
The report shows how fast the Swiss blockchain industry has been growing. According to another report by Crypto Valley Venture Capital, there are now more than 600 blockchain companies in Switzerland and Liechtenstein combined. The industry also employs more than 3,000 people.
Crypto Valley Venture Capital has put together a registry for blockchain companies in Switzerland and Liechtenstein. In April 2017, the registry showed only 350 companies, compared to 600 now.
BLockNovum’s report also shows the diversity of Switzerland’s blockchain industry. Considering that about half of all blockchain applications developed worldwide are in financial services, Switzerland’s blockchain ecosystem mirrors the global trend.
Switzerland’s blockchain ecosystem
Switzerland’s blockchain ecosystem is way more than just startups. The Cryptovalley website reveals that nine universities and laboratories such as ETH Zürich (ETHZ), Ecole Polytechnique Fédérale de Lausanne (EPFL), or St. Gallen University are directly or indirectly linked to blockchain.
Banks, lawyers and service provides form part of the ecosystem as well. And there are around 20 associations. Through workshops, practice sessions, meetups, events and discussions they provide an informal link between the public and the new technology.
Regulators remove roadblocks
On its way to become the crypto nation, the Swiss government tries to remove roadblocks for the industry.
In December, the government has announced a wide-ranging blockchain strategy, aiming at creating a legal foundation for the technology. Instead of creating new legislation, the government plans to amend existing laws.
“We feel that this approach best represents the principle of technological neutrality and is in line with the position taken by the CVA (Crypto Valley Association) in the consultation process,” says Mattia Rattaggi, CVA spokesman for regulatory matters.
The main goal is to incorporate decentralized digital tokens into the Swiss business infrastructure, particularly the financial sector. One of the legislative changes will soon enable blockchain startups in the finance space to take up to CHF 100 million in client deposits without needing a banking license.
It will be interesting to see how Switzerland’s and Liechtenstein’s blockchain ecosystems will develop and coexist over the next years. There is stiff competition, and several companies have already moved from Switzerland to Liechtenstein. With the Blockchain Act being introduced this year, this trend could accelerate.