Today Swiss stock exchange SIX released more details about its joint wholesale central bank digital currency (CBDC) pilot with the Swiss National Bank (SNB). Tokenized bond transactions on the SIX Digital Exchange (SDX) will be settled using the real wholesale CBDC.
Six commercial banks will participate, including three new SDX members, Commerzbank, Banque Cantonale Vaudoise and Basler Kantonalbank. They join UBS, Hypothekarbank Lenzburg and Zürcher Kantonalbank.The pilot will run from December 2023 until June 2024.
SDX has two conventional Swiss licenses as an exchange and a central securities depository (CSD). Hence it targets institutions only. Last year it hosted the largest digital bond issuance to date, a CHF 375 million bond from UBS. The SDX CSD is linked to the main Swiss CSD, SIX SIS, allowing institutions not yet ready for distributed ledger technology (DLT) to participate in digital bond issuance and trading.
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