Swiss wholesale CBDC pilot kicks off in alliance with central, commercial banks
The Swiss wCBDC pilot project will be hosted on SDX and use the infrastructure of Swiss Interbank Clearing (SIC).
The Swiss National Bank (SNB), six commercial banks and the SIX Swiss Exchange will work together to pilot the issuance of wholesale central bank digital currencies (CBDCs) in the nation, officially known as the Swiss franc wCBDC.
The pilot project dedicated to wholesale CBDC, named Helvetia Phase III, will test the efficacy of a Swiss Franc wCBDC in settling digital securities transactions. The pilot builds from the findings of the first two phases — Helvetia Phases I and II — conducted by BIS Innovation Hub, the SNB and SIX.
The six banks involved in the pilot — Banque Cantonale Vaudoise, Basler Kantonalbank, Commerzbank, Hypothekarbank Lenzburg, UBS, and Zürcher Kantonalbank — are also existing SIX Digital Exchange (SDX) member banks.
The Swiss wCBDC pilot project will be hosted on SDX and use the infrastructure of Swiss Interbank Clearing (SIC). According to the announcement, the pilot will run for six months, from December 2023 to June 2024.
“The pilot's objective is to test, in a live production environment, the settlement of primary and secondary market transactions in wCBDC.”
During this timeframe, participating banks will “issue digital Swiss franc bonds, which will be settled against wCBDC on a delivery-versus-payment basis.” All transactions conducted in this test environment will be collateralized by digital bonds and settled on SDX in wCBDC.
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