Cryptocurrency Broker Bity Sues FINMA in Switzerland

Reading Time: < 1 minute

Bity, a crypto brokerage company, has initiated a fundraiser to cover the legal costs of suing the Swiss Financial Market Supervisory Authority (FINMA).

The lawsuit is in response to the new rules that cap monthly crypto transactions for non-KYC clients at 1,000 CHF (~$1,152).

This is a stark decrease from the previously allowed 5000 CHF (~$5762). In their statements, Bity argued that they are being “actively fought” against by less explicit means than those used by the SEC in the US.

The regulators declared all crypto transactions as high-risk, calling for more sophisticated security systems, which “undermines the usability of digital assets.”

To enact the change, FINMA only sent a simple email referencing a Swiss newspaper instead of drawing up an official document.

The canton of Zug has increased the legal threshold for tax payments in Bitcoin and Ethereum, setting it from 100,000 CHF to 1,500,000 CHF (~$1.67 million).

Furthermore, the city of Lugano declared Bitcoin, Tether, and the city’s own LVGA token “de facto” legal tender.