This year's choice of conference theme was exceptionally timely. By selecting "Digital Finance", the Annual Meeting addressed a key topic that is actively transforming the financial landscape. Just weeks after the US presidential election, which led to new highs in the cryptocurrency market, leading figures from academia and finance came together at our conference. The occasion provided a platform from which to explore the broader opportunities presented by digital innovations in the financial sector—beyond the realm of cryptocurrencies alone.

The event opened with remarks from the hosts, Professor François Degeorge, Managing Director of SFI, and Dr. Stefan Seiler, Chairman of the SFI Foundation. Interviewed by moderator Caroline Roth, they highlighted the importance and relevance of SFI to the Swiss financial sector, emphasizing that successful financial hubs are invariably built on a strong academic foundation. François Degeorge underscored SFI's primary mission of ensuring knowledge exchange between academia and the Swiss banking industry. Stefan Seiler, meanwhile, noted the significant benefits the Swiss financial industry derives from SFI's activities.

Professor David Yermack from New York University's Stern School of Business introduced the conference theme, "Digital Finance", with his keynote address, "US Election Outcomes: A New Era for Crypto Regulation and Investment?" He challenged various campaign proposals made by Donald Trump related to a potential US government bitcoin strategy, drawing comparisons with the state-led bitcoin initiatives of El Salvador and Bhutan. Yermack doubts the feasibility of gaining a political majority for such a strategy in the US. He illustrated the challenges of building a Bitcoin reserve, noting that acquiring even 1 percent of the US's current debt as Bitcoin would require purchasing $360 billion worth of Bitcoin, or 19 percent of the total market capitalization. Such an undertaking would significantly inflate Bitcoin's price, rendering the strategy impractical.

Päivi Rekonen, Chair of the Board of Directors at AMINA Bank, added another influential voice from the financial world to the discussion. Speaking on "Crypto to the Rescue? Digitization and Decentralization in Transforming Finance", she presented a clear perspective on the current state of the banking industry. In her remarks, Rekonen highlighted that the centralization of power in both the financial and the technology sector creates significant barriers to entry for new players. For example, just five American banks control nearly 50 percent of all assets held by US banks, while the total number of banks continues to decline. Similarly, the technology sector is dominated by established giants such as Google, Meta, Apple, and Microsoft. Nevertheless—or perhaps precisely because of this—blockchain technology is gaining significance in financial services. Major asset managers such as Goldman Sachs, JP Morgan, and UBS have announced corresponding investments. At the same time, the role of artificial intelligence is becoming increasingly critical. The same applies to the field of compliance, where Switzerland currently plays a leading role, which is widely perceived as delivering a significant competitive advantage in the international context.

Jos Dijsselhof, Chief Executive Officer of the Swiss stock exchange operator SIX, followed with his perspective on the topic, "Building a Digital Asset Market Infrastructure for the Future of Finance". In his presentation, Dijsselhof outlined the development of the financial infrastructure for digital capital markets in Switzerland, positioning the country as SIX's launchpad for digital transformation. He emphasized that Switzerland's financial center stands out globally for its highly advanced legal framework for digital assets. As key success factors for the future, Dijsselhof highlighted the importance of maintaining a clear and effective legal framework, a regulated platform that fosters network effects for participants, "cash on chain" (referring to a low-risk monetary equivalent), and seamless interoperability with traditional financial infrastructure.

The SFI Annual Meeting concluded—as per tradition—with a panel discussion, this year featuring Jos Dijsselhof, Päivi Rekonen, and SFI Professor Fabian Schär from the University of Basel. Held on November 27, 2024 at the Zurich venue Lake Side, the Annual Meeting once again captivated over 300 attendees with its engaging presentations and a distinguished lineup of speakers.