A collaboration has been initiated by six major Swiss banks, in partnership with Swiss Stablecoin AG, to explore the potential of a stablecoin pegged to the Swiss franc, as announced by UBS on Wednesday.
The participating banks—UBS, PostFinance, Sygnum, Raiffeisen, Zürcher Kantonalbank, and BCV—are working together to establish a sandbox environment. This initiative aims to integrate blockchain-based payments into Switzerland’s financial ecosystem, according to the statement released.
Over a trial period extending through 2026, these institutions will test transactions in a controlled yet realistic environment. The project is specifically designed for participants to simulate actual payment flows while setting constraints on users and transaction volumes to mitigate risks.
Currently absent from the market is a regulated Swiss franc stablecoin with widespread application. The banks are keen to explore how such a token could enhance payments, expedite settlement times, and bridge blockchain applications with traditional currencies.
The focus of testing will be on payment processes and examining how programmable money can bolster financial services. Open to additional banks, companies, and institutions during the stablecoin trial period, the group intends to gather operational insights and evaluate the feasibility of a full-scale launch for a CHF-stablecoin.
This initiative follows another consortium of 12 leading banks, including BBVA, ING, and UniCredit, which are backing Qivalis—a digital euro slated to debut in the latter half of 2026. This effort aims to provide an alternative to dominant dollar stablecoins like Tether’s USDT and Circle’s USDC.