Strategic Entry Points in the Evolving Crypto ETP Market: Leveraging Switzerland’s Regulated Crypto Infrastructure for Diversified Exposure

The global crypto ETP market has entered a new era of institutionalization and regulatory clarity, with Switzerland emerging as a pivotal hub for investors seeking diversified exposure to digital assets. As of 2025, the Swiss financial infrastructure—anchored by the Swiss Financial Markets Supervisory Authority (FINMA) and the Swiss Financial Services Act (FinSA)—has created a fertile ground for innovation while maintaining investor protection. This analysis explores how Switzerland’s regulated environment offers strategic entry points for investors, particularly through the lens of recent developments in crypto ETPs.

Regulatory Clarity as a Catalyst for Growth

Switzerland’s 2024 regulatory updates marked a turning point for crypto ETPs. By expanding the universe of eligible crypto underlyings, regulators removed barriers for issuers and investors alike. For instance, the inclusion of assets like Solana and XRP in ETP structures has broadened the appeal of the SIX Swiss Exchange, which now hosts 41 new ETPs since 2024, 25 of which are crypto-related [1]. This regulatory clarity has not only attracted established players like Bitwise but also fostered a competitive landscape where niche products—such as 21Shares’ Hyperliquid token ETP—can thrive [3].

The Swiss approach, characterized by technology neutrality and a risk-based framework, ensures that innovation is not stifled by overregulation. As noted in a 2025 fintech report, Switzerland’s legal certainty and sophisticated workforce further reinforce its position as a global financial hub [2]. This environment is critical for investors seeking to hedge against volatility in traditional markets while accessing cutting-edge digital assets.

Institutional-Grade Infrastructure and Product Diversification

One of the most compelling aspects of Switzerland’s crypto ETP market is its institutional-grade infrastructure. Bitwise’s recent listings on the SIX Swiss Exchange exemplify this: products like the Bitwise Core Bitcoin ETP (BTC1) and Ethereum Staking ETP (ET32) are fully collateralized by underlying assets and stored in institutional-grade cold storage [4]. These features address key concerns about custody and transparency, which have historically hindered institutional adoption of crypto.

Moreover, the introduction of the SIX Digital Collateral Service (DCS) in February 2025 has revolutionized collateral management. By allowing cryptocurrencies to be used alongside traditional assets as collateral, DCS reduces liquidity constraints and enhances the efficiency of ETP structures [2]. For investors, this means lower costs and greater flexibility in portfolio construction.

Strategic Entry Points for 2025 and Beyond

The Swiss market’s growth trajectory presents clear strategic entry points for investors. First, the expansion of eligible underlyings—such as the inclusion of XRP and Solana—enables exposure to high-growth crypto assets without the risks associated with direct ownership. Second, the rise of staking ETPs, like Bitwise’s ET32 and BSOL, offers yield-generating opportunities while maintaining regulatory compliance [4].

Third, the timing of regulatory shifts in Europe—such as the UK’s anticipated easing of retail access to crypto ETPs—creates a window for Swiss-based products to capture market share. As of August 2025, Bitwise’s Swiss ETPs alone have attracted $15 billion in assets under management, reflecting a 200% increase since October 2024 [3]. This surge underscores the demand for regulated, diversified crypto exposure.

Conclusion

Switzerland’s regulated crypto infrastructure is not merely a regulatory achievement but a strategic asset for investors. By leveraging the country’s technology-neutral framework, institutional-grade custody solutions, and product diversification, investors can gain access to a resilient and innovative market. As global regulatory trends continue to evolve, Switzerland’s role as a crypto ETP hub will likely solidify, offering a blueprint for balancing innovation with stability.

Source:
[1] Crypto Market Thrives with Outstanding ETP Performance at [https://www.six-group.com/en/newsroom/news/the-swiss-stock-exchange/2025/crypto-products-2024.html]
[2] The Boom of Exchange Traded Products (ETPs) - CapLaw [https://caplaw.ch/2025/the-boom-of-exchange-traded-products-etps/]
[3] Bitwise Expands Presence in Swiss Market with Five ... [https://coincentral.com/bitwise-expands-presence-in-swiss-market-with-five-crypto-etp-listings-on-six-exchange/]
[4] Bitwise Launches Bitcoin, Ethereum, Solana, XRP ETPs on ... [https://www.mexc.com/en-GB/news/bitwise-launches-bitcoin-ethereum-solana-xrp-etps-on-swiss-exchange/85609]