Zug continues to lead Switzerland’s Web3 charge as nearly 1,750 blockchain firms call Crypto Valley home.

Switzerland’s Crypto Valley, the renowned blockchain hotspot spanning across the Alpine nation and neighbouring Liechtenstein, has posted an impressive 132% growth in just five years. According to the latest CV VC Crypto Valley Company & Industry Report, the region is now home to 1,749 active blockchain companies, with Zug at the heart of this Web3 revolution.

The findings offer a snapshot of a maturing ecosystem that has not only weathered global economic storms but has expanded steadily, with an 18.8% compound annual growth rate (CAGR) over the last half-decade. Beyond the numbers, the report highlights the region’s shift in company structures, steady geographical expansion, and the increasing global relevance of Swiss blockchain ventures.

Zug Remains the Beating Heart of Crypto Valley

At the centre of Crypto Valley’s exponential rise is Zug — a small city with outsized influence. Once known mainly for its low taxes, Zug has transformed into a magnet for blockchain pioneers. Over the past year alone, the number of blockchain firms based there has grown by 14%. As it stands, Zug is home to more than 40% of all Web3 companies in Switzerland.

Other regions are catching up. Zürich follows closely with 15% of the nation’s blockchain firms, while Ticino, Geneva, and Luzern are seeing consistent year-on-year growth. This spread underlines a broader national trend: Switzerland is fast becoming a decentralised hub for decentralised technology.

Infrastructure and Financial Services Lead the Sector

Crypto Valley’s strength lies in its diversity. While blockchain was once synonymous with cryptocurrency, today’s ecosystem reflects a much broader field of innovation. Infrastructure-related startups make up the largest slice of the pie, accounting for 20% of all firms in the region. These include companies working on core technologies such as blockchain protocols, interoperability solutions, and decentralised storage.

Financial services — another traditional strength of the Swiss economy — come in at a close second with 18%. The sector includes a range of players, from fintech startups to decentralised finance (DeFi) platforms and tokenisation services. Consulting and advisory firms hold a 17% share, providing the legal, technical, and strategic support that fuels the industry’s engine.

This balance between technological development and financial expertise is a key reason for Crypto Valley’s sustained appeal to startups, investors, and regulatory bodies alike.

Legal Evolution: Associations and Foundations Gain Ground

One of the more interesting findings of the report is the shift in legal frameworks. While limited liability companies (LLCs) and corporations remain the most common structures, there’s a noticeable rise in alternative models. Associations and foundations — legal entities well suited to decentralised governance — accounted for more than 20% of new company filings in 2024.

This shift reflects a maturing industry increasingly aligned with Web3’s core ethos of decentralisation and community governance. It also indicates growing confidence in the region’s legal and regulatory clarity, something that remains a major concern in other jurisdictions.

A Global Player in Blockchain Innovation

The report’s insights were echoed by Heinz Tännler, president of the Swiss Blockchain Federation, who noted that the growth “proves that the Swiss blockchain industry is not only nationally relevant but also of global strategic importance.” His comments align with a broader sentiment that Crypto Valley is not just surviving — it’s thriving, and in doing so, shaping the future of blockchain innovation on a global scale.

Mathias Ruch, CEO of CV VC, underscored this resilience, noting how the valley has “weathered global challenges, evolved, and diversified” over the past five years. The data backs his claim. Despite market volatility, regulatory debates, and global economic uncertainties, Switzerland has carved out a safe yet ambitious space for blockchain to flourish.