The proposal, launched by the founder of TicinoCoin Michele Fiscalini, was made public on the Swiss information website Mattinonline and would involve the payment of part of the cross-border workers’ salary in TicinoCoin. In particular, Fiscalini proposes to pay with this cryptocurrency the difference between the salary received in Switzerland and the one they would receive in Italy if they performed the same tasks.
In the Canton of Ticino cross-border workers are foreign employees, who live in Italy and have Italian citizenship, but who work in the Canton. Every day they cross the border and enter Switzerland to work, to then return to Italy where they live.
The last available statistic on this subject is the one from the second quarter of 2019, when the number of cross-border workers was estimated at 66,316, an increase of 3.8% compared to the previous quarter and of 3.4% compared to the same period last year.
TicinoCoin, on the other hand, is a proposal for a stablecoin complementary to the Swiss franc, i.e. with a fixed exchange rate of 1:1 with respect to the national currency, which is designed to support the local economy of the Canton of Ticino.
According to Fiscalini, the issue of cross-border commuters is a widely recognised problem in the Canton, especially because of the fact that they continue to increase, and so far no solutions have been found, to the extent that the problem is bound to become worse.
In this regard, he is putting forward a provocative proposal to pay them in TicinoCoin.
His example illustrates the situation of a cross-border employee whose gross salary is 4,000 francs. Assuming that, at the current exchange rates, the salary he would receive in Italy for the same role would be 2,000 francs, Fiscalini proposes to pay the worker with 2,000 francs, which the worker could convert into euros so that he can spend them in Italy, and with 2,000 TicinoCoin (Tic), which he can spend only in Canton Ticino.
The TicinoCoin Association’s regulation provides that companies that accept Tic must have precise ethical and environmental requirements, even if they are still to be officially defined, including that of having at least 80% of Ticino employees, and a percentage of cross-border commuters that does not exceed 20%.
In this way, Italian cross-border workers would be obliged to spend a substantial part of their Swiss income on activities in the Canton of Ticino.
However, Fiscalini wonders whether such a proposal has the legal requirements to be approved, and at the moment there is a pending parliamentary question about TicinoCoin which has not yet been answered by the Ticino Government.
If the answer is positive and arrives by the end of 2019, the operational tests of the Ticino stablecoin could start in 2020.