Swiss banks test transfers using deposit tokens
Date: 2025-09-18 Author: Henry Casey Categories: IN WORLD
A pilot experiment, organized under the auspices of the Swiss Bankers Association (SBA), took place in Switzerland. Several banks tested the use of deposit tokens in real-world scenarios. The trial included two options: direct transfers between clients of different banks and a model resembling an escrow service, where tokens were exchanged for digital assets.
According to the Etherscan network, all test transactions were conducted on the public Ethereum network under controlled conditions. Settlements were carried out using smart contracts that automatically executed the necessary operations. This approach allowed for instant crediting of funds in securities transactions and the payment of insurance payments immediately upon confirmation of the fulfillment of the conditions.
SBA officials noted that the trial results confirmed the effectiveness of the concept: digital deposit equivalents can be used by banks for fast and fully automated transfers without the involvement of intermediaries. This paves the way for the development of a more flexible and modern interbank settlement infrastructure.
The project placed particular emphasis on reliability. The use of the open Ethereum network while maintaining a controlled environment demonstrated that such transactions can be both transparent and secure. Combined with programmable smart contracts, this provides market participants with a tool for optimizing a wide range of processes—from securities transactions to insurance contract servicing.
Alongside similar initiatives, the tokenized fund market is also developing. UBS Asset Management previously announced the launch of a test project for a money market fund converted to a tokenized format and also operating on Ethereum. This initiative underscores the efforts of Swiss financial institutions to implement advanced digital solutions that can transform traditional approaches to asset management and settlements.
Thus, the SBA pilot project has become an important step in demonstrating the practical application of deposit tokens. He confirmed that banks can use such tools not only to simplify payments but also to create new financial services where transparency, speed, and automation are paramount. In the future, such technologies could play a key role in shaping the digital ecosystem of the global financial sector.
