Fynn Kreuz is the CEO of the Swiss Bitcoin company, Numbers.
In 1291, three regions of the Holy Roman Empire seceded and took an oath that founded the Swiss Confederation. This movement, born out of a desire for freedom and independence, began when the mythical national hero, William Tell, challenged a tyrannical bailiff called Albrecht Gessler.
Over 700 years later, Bitcoin was created to break away from the existing financial and monetary order. In its fight for freedom and independence, Bitcoin is battling mainstream finance, dishonest narratives, and overregulation from agencies like the SEC, led by Gary Gensler. It is said that history does not repeat itself, but often rhymes. In this case, ironically, Gessler and Gensler literally rhyme.
Bitcoin and Switzerland share a fundamental philosophy of freedom and independence. At Numbrs, we believe that Bitcoin is the best safe haven in the world and that Switzerland will become the logical destination to store its precious private keys. Rooted in its long tradition of security, stability and privacy, Switzerland will transform its financial landscape, thanks to Bitcoin, and we will be at the forefront of this inevitable evolution.
Since its creation, Switzerland has shaped its system on the founding principles of freedom and independence. A deep-seated distrust of centralized power has given it a unique political system based on a loose union of states, or townships, all of which retain their own parliaments, governments, and courts. This loose union is bound by a weak central core, or federal government, which enacts decisions made through a system of national referendums. The whole population remains the ultimate arbiter of political power and the guardian of the rule of law. This decentralized system of governance has made it one of the safest, most stable and wealthiest countries in the history of the world, as well as the world’s number one safe haven destination for the accumulation of wealth. Much of the world’s art, gold and gemstones are stored in the world’s most secure vaults in Switzerland.
Switzerland also has a long tradition of financial confidentiality. At the beginning of the 18th century, European Catholic monarchs gave their money to Swiss Protestant bankers to deal with and neither party wanted anyone to know they were dealing with each other. The Grand Council of Geneva Thus began a tradition of banking secrecy, which would be enshrined in Swiss law in 1934. Subsequent attempts by governments around the world to confiscate assets and impose exorbitant taxes drove an increasing amount of capital into Switzerland. The prestige of the Swiss financial system has survived political crises, world wars and economic disasters.
Today, bank secrecy in traditional finance is pretty much dead, but Bitcoin has implemented a new, superior pseudonymous transaction system. Through cryptography, Bitcoin has enabled the creation, transfer, and storage of economic value in the digital sphere. It runs on a decentralized, borderless protocol maintained by a global network of computers not owned by any single person, government, or legal entity. Its offer is unalterable and according to a known issuance schedule, capping at 21 million bitcoins.
It is vastly superior to silver because no government has the power to devalue bitcoin by producing more of it. It is also superior to gold and other precious metals because its supply is predictable, the timing of supply issuance is fixed and unalterable. Beyond its fixed supply, Bitcoin’s technical attributes make it much more secure, convenient, and discreet than traditional stores of value. Huge economic value can be easily split and transferred across the planet cheaply, securely, and instantly in Bitcoin. The only infrastructure necessary for the operation of the system is the Internet.
Beyond practicality, Bitcoin breaks the traditional financial order by giving its users flawless ownership of their economic assets. There is no bank or financial intermediary that people should trust to manage their livelihoods. With a noncustodial wallet and private keys, each user acts as their own bank. This feature of Bitcoin, among others, is revolutionary. You no longer have to trust banks and you no longer have to worry about governments applying financial censorship, confiscation or other draconian policies through banks.
Bitcoin’s hard cap, technical attributes, and private key ownership make it the best store of safe-haven value in the world. This financial revolution has allowed the Bitcoin network to settle over $13 trillion in transactions in 2021 and has increased its market capitalization to over $1 trillion. We believe this is just the beginning and growing global instability and economic mismanagement will lead to growing popular adoption and increased momentum for Bitcoin. Society will eventually reach a tipping point and fiat will be entirely discredited as a medium of exchange. Bitcoin will become the only logical and viable alternative. A growing number of nations will accept it as legal tender and make it the basis of a new monetary order.
In order to take full advantage of this financial revolution, users must store their bitcoins in noncustodial wallets that give them full control over their private keys. Recent events around the world have shown how easily governments can use banks and centralized exchanges to expropriate the users of their wealth. Bitcoin, through the use of private keys, puts people’s wealth outside of this overreach. Possession and storage of private keys are therefore of paramount importance to safeguard one’s livelihood.
It is for this reason that Switzerland is the logical place to develop the most secure solution for storing bitcoin. With a long tradition of financial security and discretion, a non-custodial Swiss wallet, backed by military-grade encryption in the heart of the Swiss Alps, is the only way to keep your bitcoin fully protected and easily accessible.
For Switzerland to remain at the forefront of finance, it will have to adapt and continue its long tradition of financial security and excellence. We are delighted to see that the legal framework is at the forefront of the needs of a new digital currency system and we will continue to strive to play a leading role in the industry.
This is a guest post by Fynn Kreuz. The opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc. or bitcoin magazine.