The Swiss Financial Market Supervisory Authority (FINMA) has approved the country’s first Bitcoin exchange-traded fund (ETF). It is a retail fund that invests directly in Bitcoin.
FINMA did not name the fund provider in its announcement.
The regulator said it has seen growing interest in cryptocurrency investments, particularly in Bitcoin.
Other fund providers have submitted or announced applications for Bitcoin ETFs of their own.
Under Swiss law, the fund is classified as an “other fund for alternative investments” with a specific risk.
In 2021, FINMA authorised a fund for qualified investors that invests primarily in a basket of cryptocurrencies.
The new fund holds only Bitcoin, so the regulator granted an exemption from the applicable risk diversification rules in this case.
It based the decision on Bitcoin’s long trading history and its particularly high trading volume compared with other cryptocurrencies.
To protect investors more effectively, supervised institutions must take measures to reduce operational and custody risks.
These measures are set out in guidance that FINMA published on 12 January 2026.
Rules of conduct at the point of sale under the Financial Services Act (FinSA) will also apply to the fund.
According to FINMA, these rules give investors a higher level of protection than investing in cryptocurrencies directly.
To improve transparency, the fund documents must clearly highlight and explain the risks.
Even with the approval in place, FINMA stressed that investing in Bitcoin remains highly risky.
“Due to the high volatility of cryptocurrencies, the capital invested may lose a significant amount of its value,”
said FINMA.
The regulator added that investors should keep this risk in mind when deciding how much to invest.
Supervised entities that offer financial instruments based on cryptocurrencies must strictly follow the FinSA rules of conduct.
They must give clear warnings about volatility and the risk of losing money, and they must pay particular attention to whether each product is suitable for the investor.
Featured image: Edited by Fintech News Switzerland, based on image by pvproductions via Magnific.
