According to a report, Thomas Jordan, the head of the Swiss National Bank (SNB), announced the upcoming launch of a wholesale central bank digital currency (wCBDC) pilot project. Speaking at a conference in Zurich, Jordan stated that the project would commence “soon.” Although the SNB remains cautious about introducing a retail CBDC, this announcement highlights their intention to explore the possibilities of a wCBDC.
During the Point Zero Forum in Zurich on June 26, Thomas Jordan was quoted as saying that the wholesale central bank digital currency (wCBDC) would be issued on the Swiss SIX digital exchange for a limited duration. The SIX Group, which operates Switzerland’s largest stock exchange, will be responsible for overseeing the implementation of the wCBDC.
In a significant shift from the past, Thomas Moser, a governing board member of the Swiss National Bank (SNB), stated last year in an interview with Cointelegraph that central bank digital currencies (CBDCs) could be compatible with decentralized finance. This marked a departure from the earlier stance expressed by SNB’s chief economist Carlos Lenz, who had stated a year before that blockchain was not a suitable platform for CBDC and that Switzerland had no plans to issue one.
In line with exploring the potential of CBDCs, the SNB had integrated a wholesale CBDC into the back-office systems of five banks as part of Project Helvetia, following a successful proof of concept. While discussing the possibility of a retail central bank digital currency (CBDC), Thomas expressed a cautious approach by stating, “At the moment, we are exercising prudence.” However, he did not completely dismiss the idea of its potential introduction, leaving room for further consideration.
During a separate event at the Point Zero Forum this year, Andréa Maechler, a governing board member of the Swiss National Bank (SNB), made remarks that differed from Thomas Jordan’s earlier statements. Maechler stated that the central bank does not anticipate the complete replacement of cash in the country. In addition, she reiterated the position expressed last year, where SNB officials believed that the risks associated with a retail central bank digital currency (CBDC) outweighed the potential benefits.