> For the complete documentation index, see [llms.txt](https://faq.finchtrade.com/guide/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://faq.finchtrade.com/guide/regulatory-compliance/vqf-regulation-explained.md).

# VQF regulation explained

VQF (Verein zur Qualitätssicherung von Finanzdienstleistungen — Association for Quality Assurance of Financial Services) is a Swiss self-regulatory organisation supervising financial intermediaries operating in Switzerland. FinchTrade AG is a VQF member; this is the regulatory framework under which we operate. This page explains what VQF is, how Swiss regulation works in practice for crypto activities, and what VQF supervision means for partners working with us.

## How Swiss financial regulation is structured

Switzerland's financial supervision operates on two levels.

**FINMA (Swiss Financial Market Supervisory Authority)** is the federal regulator. FINMA directly supervises banks, insurers, securities firms, and certain other categories of financial institutions. FINMA also recognises and oversees self-regulatory organisations (SROs) that supervise specific categories of financial intermediaries.

**Self-Regulatory Organisations (SROs)** are private bodies recognised by FINMA to supervise specific types of financial intermediaries — primarily those subject to anti-money-laundering (AML) obligations under Swiss law but not directly supervised by FINMA. SROs operate under FINMA's oversight; FINMA approves their rules and supervises their effectiveness.

VQF is one of these SROs. VQF supervises financial intermediaries — including crypto-asset firms — that fall under Swiss AML obligations.

## What VQF supervises

VQF members are subject to:

**AML and CFT obligations under Swiss law.** The Anti-Money Laundering Act (AMLA) and related ordinances. Member firms must identify clients (KYC/KYB), monitor transactions, file suspicious activity reports (SARs), and maintain compliance frameworks consistent with Swiss requirements.

**Conduct rules.** Member firms must operate with appropriate organisation, controls, and governance. VQF's rulebook specifies standards for members.

**Member-specific obligations.** Depending on the member's activity, additional rules may apply — for example, specific obligations for crypto firms beyond standard AML requirements.

VQF performs onboarding due diligence on prospective members, ongoing monitoring of member activity, periodic audits, and disciplinary action when members breach the rulebook. FINMA in turn supervises VQF's effectiveness.

## What VQF doesn't supervise

A few important boundaries.

**VQF is not equivalent to a banking or securities licence.** Swiss banks are directly FINMA-supervised; VQF members are not banks. A VQF member can perform certain financial-intermediary activities under Swiss law but cannot perform activities reserved for banks or other directly-licensed firms.

**VQF authorisation is Swiss-specific.** It applies to activity by Swiss-incorporated firms under Swiss law. It does not extend to activity that would require authorisation in other jurisdictions — VQF is not a substitute for MiCA CASP authorisation in the EU, FCA registration in the UK, or FinCEN registration in the US.

**VQF doesn't cover all crypto activity.** Specific crypto activities (e.g., operating a regulated trading venue under FinSA) may require direct FINMA authorisation rather than VQF SRO membership. The right framework depends on the specific activity.

## What VQF means for partners

For B2B partners working with FinchTrade, VQF supervision provides several specific things.

**A documented regulatory framework.** Our compliance practices are formal, audited, and externally supervised. Partners conducting KYB on us see a clear regulatory picture.

**AML and CFT compliance to Swiss standards.** Swiss AML standards are generally regarded as robust; transactions through our infrastructure are subject to consistent screening, monitoring, and reporting.

**A regulatory perimeter for** [**Regulated Crypto Access**](file:///3576885/solutions/regulated-crypto-access/overview.md)**.** Partners operating activity within our framework are operating within VQF-supervised activity, not outside any regulatory framework.

**Continuity expectations.** VQF members are subject to continuity requirements — succession planning, operational resilience, and similar obligations that increase the likelihood the firm continues to operate over time.

## What VQF doesn't mean for partners

To be clear about what VQF supervision is not.

**It's not equivalent to CASP authorisation under MiCA.** Partners targeting EU retail or activity requiring CASP scope cannot rely on our VQF supervision. Different regulatory regime, different requirements.

**It's not equivalent to FCA authorisation in the UK.** Partners targeting UK retail or activity requiring FCA permissions cannot rely on our VQF supervision.

**It doesn't extend the partner's own regulatory perimeter automatically.** Partners operating in their own jurisdictions remain subject to their own jurisdictional rules. Our VQF supervision covers our activity; partners' activity is governed by their own regulators.

**It's not a passport.** VQF authorisation doesn't passport into the EU or other markets the way some EU authorisations do.

## How partners should think about it

For partners evaluating FinchTrade as an infrastructure provider, VQF supervision is one component of due diligence — a component that confirms FinchTrade operates within a recognised regulatory framework, not a component that substitutes for any required licensing on the partner's side.

A practical view:

* VQF supervision tells you our compliance practices are documented and audited
* It tells you our activity is supervised by a recognised SRO under FINMA oversight
* It tells you we're a regulated counterparty rather than an unregulated entity
* It does not tell you we can solve every regulatory problem your business has

For partners whose own jurisdictional requirements are clear and met by their own arrangements, VQF supervision adds confidence to the counterparty relationship. For partners that are themselves seeking a regulatory framework to operate under, VQF can be the foundation of a [Regulated Crypto Access](file:///3576885/solutions/regulated-crypto-access/overview.md) partnership, within the scope that VQF authorisation actually covers.

## Documentation and verification

Partners conducting due diligence on FinchTrade can verify:

* VQF membership through VQF's public member directory
* ISO/IEC 27001 and 27701 certifications through their respective certification bodies
* Swiss incorporation through the Swiss commercial register (FinchTrade AG, Zug)

Specific documentation is available to partners under NDA during onboarding.