Stablecoin holders can usually make a payment request to the issuer at any time. These requests are generally classified as deposits under banking law or collective investment schemes under the Banking Act. To distinguish between a deposit under banking law and a collective investment scheme it is important whether the underlying assets are managed for the account and risk of the stablecoin holder (indicative of a collective investment scheme) or for the account and risk of the issuer (indicative of a deposit under banking law).
🔍The stablecoin issuer is considered a financial intermediary for anti-money laundering (AML) legislation and must, among other things, verify the identity of the stablecoin holder as the customer by the applicable obligations (Art. 3 AMLA) and establish the identity of the beneficial owner (Art. 4 AMLA). If doubt arises in the course of the business relationship as to the identity of the customer or of the beneficial owner, the verification of identity or establishment of identity must be repeated (Art. 5 para. 1 AMLA).
🏦 The Eidgenössische Finanzmarktaufsicht FINMA noted that various stablecoin issuers in Switzerland use banks’ default guarantees. This means they do not need to obtain a license from the Eidgenössische Finanzmarktaufsicht FINMA under banking law, but only need to be affiliated with a self-regulatory organization as a financial intermediary. This poses a risk to stablecoin holders and banks that provide guarantees against default.
