Switzerland’s Famed “Crypto Valley” Seeks $103 Million Government Bailout

Switzerland’s “crypto valley” is asking the government for 100 million Swiss francs ($102.7 million) in funding, local media reported.

The once flourishing Swiss cryptocurrency industry is struggling to survive following the withdrawal of private equity investors.

About 80% of 203 firms surveyed by the Swiss Blockchain Federation recently warned of imminent bankruptcy. Only half of the 50 biggest companies in crypto valley expect to last a year in business.

Now, the industry is turning to government, requesting for a fund that is expected to draw on federal guarantees, local government and private investments, according to Zug finance director Heinz Taennler.

The celebrated blockchain hub is located in Zug and other towns of Switzerland and Liechtenstein.

Taennler noted that the 154 million francs credit facility for startups recently announced by the Swiss government will not be enough for the cryptocurrency sector’s ambitious financing needs. He wants a separate, dedicated…