The number of blockchain companies in the Crypto Valley has increased despite the pandemic; and the Crypto Valley Association has a new president.
The number of blockchain companies in the “Crypto Valley” has increased recently, despite the pandemic. There are now 1128 blockchain-related companies in the region. That’s not necessarily crypto companies, but all sorts of companies that conduct activities related to blockchain technology.
“Crypto Valley” is an area that mainly includes the Swiss cities of Zug and Zurich as well as Liechtenstein. It’s called Crypto Valley because the region has attracted a vast number of crypto companies due to favorable blockchain legislation, advanced infrastructure, access to talents and funding. Liechtenstein also has the advantage that it offers international companies access to the entire European Economic Area.
Most blockchain companies are located in the Swiss canton of Zug; that’s where the Crypto Valley originally began. With 1128 blockchain companies, the valley has set a new record – 528 of those are located in Zug, Zurich is second with 204 companies. In total, the firms based in the region had a valuation of $611.8 billion.
The higher valuations are in large part due to the upsurge in crypto prices since the start of the pandemic. As many crypto-related companies earn in crypto or hold crypto reserves, their cash base in U.S. dollar terms has massively increased.
14 of the firms were so-called “unicorns,” meaning companies with a valuation of more than $1 billion. All Crypto Valley companies raised a combined $3 billion in capital in financing rounds. The sector is now employing more than 6,000 people in Switzerland and Liechtenstein.
Regulations have also become more favorable. After Liechtenstein has introduced the Blockchain Act, a comprehensive blockchain legislation framework, in January 2022, Switzerland has introduced a legal basis for issuing digital securities. The so-called DLT legislation has since increased digital securities trading and further boosted the industry.
Banks are also jumping on board due to increased legal certainty. A recent survey had shown that over 55 percent of Swiss banks planned to offer digital asset services in the next one to three years.
Besides the boom in companies, there have also been leadership changes in the Crypto Valley Association, the organization fostering the region’s growth. Daniel Haudenschild has stepped down as president of the Crypto Valley Association. The association has then appointed Emi Lorincz as its new head.
Emi Lorincz is an expert in the custody of digital assets and the director of business development for the Swiss-based B2B subsidiary of the French company Ledger, a well-known provider for crypto hardware wallets.
Lorincz has already sat on CVA’s board of directors since May 2020, according to her Linkedin profile. Her career also includes positions in traditional business and banking, such as a U.S. bank Morgan Stanley and Credit Suisse, the aircraft division of U.S. industrial conglomerate G.E., and Italian energy giant ENI.
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