Tether Once Planned to Establish a Legal Entity in Switzerland, but Failed Due to Global Minimum Tax

TechFlow reported on Nov. 13 that, according to the Financial Times, stablecoin issuer Tether sought to establish a legal entity in Switzerland in 2024 but ultimately failed to do so.

Michele Foletti, mayor of Lugano, Switzerland, said the main reason was related to Switzerland's implementation of the global minimum tax framework promoted by the Organization for Economic Co-operation and Development (OECD), and Tether executives were unwilling to bear the associated tax costs.

In addition, the Financial Times, citing two people familiar with the matter, said that although Tether did not establish a legal entity in Switzerland, it still sells services through local technology consulting firm UBQ Services.

Source: TechFlow