Switzerland: Return of bank secrecy?

Of course not as it used to be: the secrecy surrounding the origins of client assets is gone. And the clock won’t be turned back. The business with untaxed assets is gone forever for Swiss banking.

But a backlash is possible. States and companies have upped their observation efforts against their citizens in the fight of the virus and plan to go much further.

Ironically, it would fit well with Swiss government’s plans to fight cyber-risks.

In July, Switzerland has introduced such a new law. The government has given the green light for more resources to the fight against hacking. The safety of the financial market and the data stored are an important aspect.

A working group in 2017 established some key aspects about how to safeguard the financial market. And with the «Roadmap 2020+» the industry has left its mark in this field.

The industry is already developing a defense framework while Swiss crypto-startups provide important measures to help store data safely.

The mere defense against attacks could be turned into a service as well.

The dream of creating a Swiss data-fortress for global banking has been kept alive for a while. If the industry were to stick together and implement a common solution, corona could yet yield a new offshore-service.

With these efforts Switzerland may be able to attract clients and their funds from jurisdictions with less strict cyber risk policies and data privacy regulations.

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