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Switzerland vs Egypt

Crypto regulation comparison

Switzerland

Switzerland

Egypt

Egypt

Legal
Restricted

Switzerland is one of the world's most crypto-friendly jurisdictions. The Canton of Zug is known as 'Crypto Valley' and hosts the Ethereum Foundation and hundreds of blockchain companies. FINMA provides clear regulatory guidance, and the DLT Act (2021) created a legal framework for tokenized securities and crypto exchanges. Individual investors pay no capital gains tax on crypto, though it is included in the cantonal wealth tax base. Professional traders may be subject to income tax.

Egypt heavily restricts cryptocurrency. The Central Bank of Egypt prohibits banks from dealing in or facilitating crypto transactions, and a 2018 Dar al-Ifta fatwa declared crypto trading haram. However, Egypt's 2020 banking law created a framework that could eventually allow regulated crypto under CBE licensing.

Tax Type Wealth
Tax Type Unclear
Tax Rate 0% capital gains (individuals); wealth tax varies by canton
Tax Rate N/A
Exchanges Yes Yes
Exchanges No No
Mining Yes Yes
Mining No No
Regulator FINMA (Swiss Financial Market Supervisory Authority)
Regulator Central Bank of Egypt (CBE), Dar al-Ifta
Stablecoin Rules Regulated under FINMA framework; fiat-pegged stablecoin issuers must hold a banking or fintech licence (reserves treated as public deposits), or a payment system licence under FMIA if structured as financial market infrastructure
Stablecoin Rules Not applicable under current restrictions
Key Points
  • No capital gains tax on crypto for individual investors (private wealth management)
  • Crypto included in cantonal wealth tax base (rates vary by canton, typically 0.1-1%)
  • Professional/frequent traders may be classified as self-employed and taxed on income
  • FINMA regulates crypto under existing financial market laws and the 2021 DLT Act
  • DLT Act (2021) introduced DLT trading facility license and legal framework for tokenized assets
Key Points
  • CBE prohibits banks and financial institutions from dealing in cryptocurrency
  • Dar al-Ifta issued a 2018 religious ruling (fatwa) against crypto trading
  • 2020 Central Bank and Banking Sector Law requires CBE approval for any crypto activity
  • Creating or operating a crypto platform without CBE license is illegal
  • Despite restrictions, Egypt has significant peer-to-peer crypto activity