Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Swiss National Bank to pilot wholesale digital currency with UBS, other banks

Published 11/02/2023, 05:03 AM
Updated 11/02/2023, 05:05 AM
© Reuters. FILE PHOTO: Swiss National Bank Chairman Thomas Jordan attends the shareholders meeting of SNB in Bern, Switzerland, April 28, 2023. REUTERS/Denis Balibouse/File Photo
UBSG
-

ZURICH (Reuters) - The Swiss National Bank said on Thursday it will start a pilot project next month using central bank digital currency (CBDC) for financial institutions, with UBS and Zuercher Kantonal Bank among those signed up to take part.

The pilot, using a real Swiss franc wholesale CBDC, will also involve four other commercial Swiss banks - Banque Cantonale Vaudoise, Basler Kantonalbank, Commerzbank (ETR:CBKG) and Hypothekarbank Lenzburg.

"With this pilot project, we are now, for the first time, making it possible to securely and efficiently settle transactions with tokenised assets on a regulated and productive DLT platform using real wholesale CBDC," SNB Chairman Thomas Jordan said in a statement.

© Reuters. FILE PHOTO: Swiss National Bank Chairman Thomas Jordan attends the shareholders meeting of SNB in Bern, Switzerland, April 28, 2023. REUTERS/Denis Balibouse/File Photo

Tokenised assets are already being used in some areas of the regulated financial system, where they promise to deliver efficiency gains and greater transparency, the SNB said.

The pilot is due to start in December and will run until June 2024.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.