The Zug crypto valley is booming – also thanks to Tracy Trachsler

Zug is the chief of Crypto Valley: Tracy Trachsler (29) holds the title of Managing Director of Crypto Valley Labs (CV Labs), a co-working office right next to the Zug train station. Located in the heart of the elusive Crypto Valley. An ecosystem of around 1200 blockchain companies spanning from the Central Swiss Alps to Liechtenstein since its founding in 2015.

“We are the center of the stage. It connects with us,” says Trachsler. Dual Swiss-American citizen has been working at CV Labs for two years. He’s had a hand in everything since then. Organize workshops, connect people who run co-working offices in Zug, Cape Town (South Africa), Berlin and Vaduz. It also organizes events at international conferences such as the World Economic Forum in Davos. “There are 16- or 18-hour days. But that doesn’t bother me,” he says. “I like the initial feel.”

The vibrating feel of a young company creating something very daring and new is absent at CV Labs these days. No table tennis or pool table. Instead, empty corridors and many abandoned co-working offices. Beer in the big bar on the top floor is just decoration. Where are the 150 companies and their employees that are said to be renting here? “People travel a lot,” Trachsler says, walking past the abandoned office of Cardano, one of the world’s largest crypto projects. “This is due to decentralized structures in our industry, you can work from anywhere.”

First blockchain teaching in Switzerland

Robin Röösli (26) is one of the few who was there. Aargau native presents the first blockchain course in Switzerland with his company TIE International. “Companies in Crypto Valley send us about 40 apprentices every year. And we’re raising ten more apprentices ourselves,” says Röösli over a cup of coffee. Youngsters complete an extended four-year computer science and media mechanics apprenticeship with him, focusing on blockchain technology. The skills Crypto Valley urgently needs.

The industry has literally exploded since 2015. Last year there were over 1,100 start-ups in Switzerland dealing with blockchain technology – more than half of them are in Zug. The industry has already created 6,000 jobs in Switzerland. And according to the current Crypto Valley Venture Capital (CV VC) Top 50 Report, the 50 largest crypto companies in Germany are valued at over $600 billion – four times more than in the previous year.

100,000 francs for a specialist

Impressive numbers that make Zug the crypto epicenter of the world. For the crypto valley to continue to grow, trained personnel are needed in Switzerland. The problem: talent is rare – those from ETH and other top universities often reach out to Google or Facebook parent company Meta in Zurich. Blockchain companies have to turn to headhunters. In this money. According to Robin Röösli, an investment of CHF 50,000 to 100,000 is required just to fill one job. “That’s why this apprenticeship is so important and a huge opportunity,” he says. “We create quality workers. And anyone who completes an apprenticeship with us has a very good hand in the job market.”

Michel Studer (16) from Zurich in his second school year. “At first, I didn’t even know what a blockchain was. But I was interested in Bitcoin – that’s why I applied,” he says. After just one year, he understands the blockchain better than 99 percent of the Swiss population. “This apprenticeship is a great opportunity that will open many doors for me,” he was convinced. He explained this to his parents as well. “You may not understand what I do every day,” Studer says and laughs. “But they support me.”

The world’s largest NFT game is in Zug

Meanwhile, Tracy Trachsler skipped lunch. Instead of a break, he attended a workshop. About 40 participants disappeared again in the early afternoon. All that’s left on the top floor – right next to the abandoned bar – is a big, white unicorn. “Our inspiration,” Trachsler says, a little shyly as he strokes the unicorn at the photographer’s request. She bluntly says: “I’m not guaranteed to sit, or it will collapse.”

On the start-up scene, the unicorn is a symbol of companies with a market capitalization of over one billion dollars. There are now 14 in Zug compared to eight last year. “We’re not a unicorn yet, but I hope the daily reminder on the fourth floor gets us there,” says Sarojini McKenna, 40. He is the co-founder of Alien Worlds, the world’s largest NFT (Fungible Token) game. An online game where you travel to different planets in the Metaverse, fight opponents and earn virtual items.

“NFT games are more about making money than having fun,” says McKenna. Players can exchange their virtual assets for cryptocurrencies and then withdraw cash. According to McKenna, six million people have already played “Alien Worlds.” 200,000 users are there every day. “It’s not a hype, it’s a trend,” says Canadian. He was convinced: “We will continue to grow.”

“Blockchain will change our lives”

In Zug, companies strive for unicorns and sometimes even create castles in the air. No one in Crypto Valley denies that. So does Tracy Trachsler: “We only invest in blockchain companies with real use cases.” It means the blockchain incubator where his company invests in young start-ups. A second pillar of CV Labs alongside co-working offices.

Despite the good mood that often spreads in Crypto Valley: Blockchain technology has not yet entered everyday life. So far, it has only been used to regulate supply chains, apart from cryptocurrencies and NFT games. Trachsler remains convinced: “Blockchain will change our lives.”

He remembers being a closed society when he entered the crypto world four years ago. “He’s healed, but we have to get everybody.” For example, everyone should understand how to manage a digital wallet. “This is perhaps our biggest and most important mission in Zug.”