Leading bitcoin wallet provider Xapo has announced that it has received “conditional approval” from the Swiss Financial Market Supervisory Authority (FINMA).

“We are happy to announce that, after almost two years of substantial effort and investment, Xapo has received conditional approval from the Swiss Financial Market Supervisory Authority (FINMA) to operate in Switzerland”, Wences Casares, Xapo Founder and CEO, said in a blog post. “This approval is contingent on several factors, including membership in a Self-Regulatory Organization (“SRO”) but we are optimistic that we will meet the required conditions and be able to serve non-U.S. customers from our headquarters in Switzerland”.

In May 2015, Xapo revealed its intention to move its headquarters to the global financial centre of Zug, Switzerland. It said at the time that the country’s regulatory stability, international neutrality and its deep-seated tradition in global finance factored into the decision.

During the approval process, Casares said that whenever obstacles arose, FINMA suggested solutions. Xapo not only accepted these suggestions, but also modified or developed products to meet regulatory requirements.

“It was this product development, not bureaucratic indifference, that added weeks and months to the application process; moreover, the tools that Xapo was required to develop will ultimately benefit our users by ensuring effective oversight of our company”, Casares added.

He also appreciated FINMA on their professionalism and proactive, collaborative and transparent approach. Casares acknowledged the tremendous efforts by FINMA personnel who spent countless hours learning a new, complex technology, then researching its proper treatment under existing (sometimes ill-fitting) legal paradigms.

“Many regulatory bodies in similar situations would have rejected Xapo (and Bitcoin) entirely.  By choosing to persevere, however, we believe FINMA has positioned Switzerland as a hub for fintech innovation and ensured Switzerland’s primacy in global financial services for decades to come”, he added.