UBS, together with several Swiss institutions, has launched a test of a Swiss franc stablecoin, with CHFD now live in a pilot run.

BlockBeats News, September 8 - Swiss bank UBS announced that it, along with PostFinance, Sygnum, Raiffeisen, Zürcher Kantonalbank, BCV, SIX, TWINT, and Swiss Stablecoin AG, a total of nine institutions, has launched the Sandbox testing phase for a Swiss franc stablecoin, exploring the integration of blockchain applications with the Swiss franc stablecoin.

This test is based on the Swiss franc stablecoin CHFD, which has been technically live in the Sandbox environment since the end of June and is pegged 1:1 to the Swiss franc. The test will focus on exploring application scenarios such as automated inter-institutional transactions, tokenized settlement of digital assets, and programmable payments, including reducing fraud risks in online markets, improving fair access to event tickets, and enhancing the efficiency of public fund disbursement.

The test is expected to run until the end of 2026. UBS stated that the Sandbox aims to accumulate technical, operational, and regulatory experience and does not represent a decision to officially launch the Swiss franc stablecoin.