Swiss bank UBS tests blockchain for cross-border payments with digital cash

As a researcher with a keen interest in fintech innovations and a decade of experience in cross-border transactions, I must say that UBS’s successful pilot of its blockchain-based payment system, UBS Digital Cash, is an exciting development in the field. This move towards blockchain solutions for cross-border payments aligns with my belief that technology can significantly streamline and secure global financial processes.


UBS has effectively tested its blockchain-powered payment system, aiming to boost the effectiveness of international money transfers.

Global financial titan UBS has wrapped up testing its blockchain-powered digital money system, known as “UBS Digital Cash,” which aims to enhance the speed and ease of international money transfers.

On November 7th, the bank based in Zurich announced that a recent test they conducted featured international clients and financial institutions. This trial encompassed both local transactions within Switzerland and cross-border transfers using USD, CHF, EUR, and CNY.

This system operates on a restricted blockchain platform known as “UBD Digital Cash,” which is exclusively available for authorized users. Transactions within this system are validated through self-executing contracts, or smart contracts, that trigger when specific requirements have been fulfilled.

“Blockchain-based payment solutions for cross-border payments are a strategic focus for UBS.”

Andy Kollegger, head of UBS Institutional & Multinational Banking

Xiaonan Zou, UBS’s head of digital assets, noted that the bank places great importance on the ability of UBS Digital Cash to work seamlessly with other digital cash projects within the financial sector, terming it a “crucial aspect.” This newest endeavor aligns with UBS’s extensive participation in various market initiatives. These include the Swiss National Bank-led project Helvetia, which focuses on real wholesale Swiss franc Central Bank Digital Currency, as well as the Agorá project, led by the Bank for International Settlements.

Shortly after UBS unveiled its inaugural tokenized investment fund, the UBS USD Money Market Investment Fund Token, on Ethereum, the pilot aimed this offering at authorized distributors based in Singapore.

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2024-11-07 20:27