Swiss National Bank to Pilot Wholesale Central Bank Digital Currency
The Swiss National Bank (SNB) has announced plans to pilot a wholesale central bank digital currency (CBDC) on the nation’s SIX digital exchange. The central bank’s chairman confirmed at a conference in Zurich on Monday that this is more than just an experiment, stating, “it will be real money equivalent to bank reserves and the objective is to test real transactions with market participants.”
The pilot CBDC will be intended for interbank, wholesale use, and a public, retail version will not be included in the present pilot. This move positions Switzerland alongside other countries, such as China, Japan, Brazil, and Australia, that are advancing in the development of CBDCs.
U.S. Remains Skeptical on CBDC Adoption
However, there is a notable difference in enthusiasm in the U.S., where Federal Reserve Governor Christopher Waller holds a skeptical view on the need for a CBDC in the country. Waller believes there’s no compelling reason to develop an official digital dollar at present, referring to it as a solution searching for a problem. During a November 2022 event in Brisbane, Australia, he stated, “The case for adopting one is not yet convincing to me and many others.”