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Swiss banks have commenced trials for a state-backed stablecoin linked to the franc., 2026/04/08 15:17:43
A consortium of major Swiss banks has commenced testing a state-backed stablecoin that is pegged to the Swiss franc (CHF). Should the trial be successful, the country’s authorities plan to launch the token for domestic transactions and cross-border payments by 2027.
The initiative, overseen by the Swiss National Bank, includes UBS, PostFinance, Sygnum, Raiffeisen, Zürcher Kantonalbank, and BCV. A special favorable regime for the stablecoin, a regulatory sandbox, is expected to operate until the end of 2026. The testing is being conducted in “real regulatory conditions”: according to project participants, the sandbox will provide banks with a digital environment to test various scenarios for the stablecoin’s application and will aid in gaining experience with digital payments.
The stablecoin is backed by the country’s national reserves. The infrastructure for issuing the stablecoin is provided by Swiss Stablecoin.
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In September, three of the six banks—UBS, PostFinance, and Sygnum Bank—completed testing a deposit token pegged to the Swiss franc on the Ethereum blockchain. The banks were exploring the possibility of transferring funds between organizations and individuals, bypassing traditional banking channels, as well as exchanging tokens for real assets while adhering to Swiss laws. The project was managed by the Swiss Bankers Association.
The CHF stablecoin could become the first regulated stable token in Europe. However, there are already at least six stablecoins pegged to the Swiss franc in circulation. The most successful among them is Frankencoin (ZCHF), launched in 2023, with a market capitalization exceeding $38.5 million. Nonetheless, not all such tokens have been successful: the CryptoFranc (XCHF) stablecoin, issued by Bitcoin Suisse, ceased to exist in 2024 due to insufficient demand.
At the end of February, the AllUnity platform of Deutsche Bank, the largest bank by assets in Germany, launched a stablecoin pegged to the Swiss franc—token CHFAU. The Swiss franc is regarded as the most stable national currency in the world.
