The Swiss Financial Market Supervisory Authority approved Switzerland's first retail fund investing directly in Bitcoin on 20 October 2026. The product is an exchange-traded fund open to retail investors, and the approval is a completed authorisation decision rather than a consultation or a draft measure.
FINMA classified the fund as an other fund for alternative investments with a specific risk, the category Swiss collective investment schemes law reserves for products carrying risks beyond those of a conventional securities fund. FINMA granted an exemption from the risk diversification rules that would otherwise apply to that category, and justified it by Bitcoin's long trading history and its high trading volume relative to other cryptocurrencies. Conduct rules at the point of sale under the Financial Services Act continue to apply, and FINMA guidance published on 12 January 2026 sets the expectations on operational and custody risk for supervised institutions.
Swiss fund management companies now have an approved precedent for a single-asset Bitcoin product aimed at retail investors, and the exemption reasoning gives them a test to meet when they seek comparable approvals. Custodian banks holding the Bitcoin must evidence the operational and custody controls described in the January 2026 guidance. Banks and securities firms distributing the fund carry the point-of-sale duties, including the suitability assessment, which FINMA said warrants particular attention for a product of this kind.
FINMA did not name the fund or its promoter in the announcement. The exemption reasoning turns on Bitcoin's own trading record and its trading volume measured against other cryptocurrencies, so it does not carry across to funds holding other crypto assets. Fund documents must highlight and explain the risks, including volatility and the risk of losing the money invested.
Licentium advises fund promoters, custodian banks and distributors on Swiss and cross-border crypto fund authorisation and on the conduct duties that attach to selling these products to retail investors. Work we undertake includes fund authorisation applications, risk diversification exemption requests, custody and operational risk documentation, and point-of-sale suitability and disclosure reviews.
Source: FINMA, 'FINMA approves Switzerland's first Bitcoin ETF', 20 October 2026