The Swiss National Bank is exploring synthetic CBDC

ChainCatcher news, according to ledgerinsights, the Swiss National Bank (SNB) has taken the lead in launching its pilot wholesale central bank digital currency (wCBDC) for settling tokenized securities transactions on the SIX Digital Exchange (SDX). The Swiss National Bank recently published its annual report, which outlines other related activities, including the exploration of synthetic CBDC, a privately tokenized currency backed by central bank funds.

The Swiss central bank describes this tokenized private currency as one of three options for DLT settlement it is considering. The other option is wCBDC. The third is a connection between the SIC payment system and the DLT system, which has previously been tested in its Project Helvetia CBDC exploration.

The Swiss central bank reiterated that it has not committed to issuing a permanent wCBDC and is not inclined towards adopting any particular solution, but is simply evaluating various options at this stage.