The post Swiss Bankers Association Conducts First Legally Binding Bank Payment Via Public Blockchain appeared on BitcoinEthereumNews.com. Key Notes Swiss Banking Alliance partnered with PostFinance, Sygnum Bank, and UBS for groundbreaking blockchain payment pilot. The program tested both deposit token transfers and blockchain-based escrow transactions for asset exchanges. Switzerland continues advancing as a blockchain research hub despite central bank hesitation on Bitcoin reserves. The Swiss Banking Alliance, in partnership with PostFinance, Sygnum Bank, and UBS, recently conducted its first-ever legally binding bank payment transaction facilitated through a public blockchain. According to a study published by the Alliance, the group conducted a pilot program to investigate the viability of smart contracts and token-based deposits compared to traditional account-based banking systems. The “Deposit Token” trial tested interbank deposit transfers on public blockchain to ensure their immutability and alignment with Swiss banking rules and organizational policies. Meanwhile, a separate trial under the same pilot involved the use of blockchain to execute escrow transactions to exchange tokens for real-world assets. According to the study’s results, both trials were conducted successfully in interbank transactions across three banks for the first time. Furthermore, the pilot program “demonstrated how regulated financial institutions can transact in an interoperable manner, paving the way for new rails in payments and settlement.” Switzerland’s Growing Blockchain Leadership Switzerland has increased its activity in the cryptocurrency and blockchain space over the past two years to quickly become one of the burgeoning sector’s research hubs. As Coinspeaker reported in June, Switzerland’s Federal Council approved plans to share cryptocurrency information with 74 countries in hopes of increasing security, transparency, and interoperability between nations. However, in April 2025, the Chairman of the Swiss National Bank (SNB), Martin Schlegel, announced that plans for the country to add Bitcoin to its reserves had stalled over concerns related to the perceived risks associated with the cryptocurrency. According to reports at the time, Schlegel claimed that digital… The post Swiss Bankers Association Conducts First Legally Binding Bank Payment Via Public Blockchain appeared on BitcoinEthereumNews.com. Key Notes Swiss Banking Alliance partnered with PostFinance, Sygnum Bank, and UBS for groundbreaking blockchain payment pilot. The program tested both deposit token transfers and blockchain-based escrow transactions for asset exchanges. Switzerland continues advancing as a blockchain research hub despite central bank hesitation on Bitcoin reserves. The Swiss Banking Alliance, in partnership with PostFinance, Sygnum Bank, and UBS, recently conducted its first-ever legally binding bank payment transaction facilitated through a public blockchain. According to a study published by the Alliance, the group conducted a pilot program to investigate the viability of smart contracts and token-based deposits compared to traditional account-based banking systems. The “Deposit Token” trial tested interbank deposit transfers on public blockchain to ensure their immutability and alignment with Swiss banking rules and organizational policies. Meanwhile, a separate trial under the same pilot involved the use of blockchain to execute escrow transactions to exchange tokens for real-world assets. According to the study’s results, both trials were conducted successfully in interbank transactions across three banks for the first time. Furthermore, the pilot program “demonstrated how regulated financial institutions can transact in an interoperable manner, paving the way for new rails in payments and settlement.” Switzerland’s Growing Blockchain Leadership Switzerland has increased its activity in the cryptocurrency and blockchain space over the past two years to quickly become one of the burgeoning sector’s research hubs. As Coinspeaker reported in June, Switzerland’s Federal Council approved plans to share cryptocurrency information with 74 countries in hopes of increasing security, transparency, and interoperability between nations. However, in April 2025, the Chairman of the Swiss National Bank (SNB), Martin Schlegel, announced that plans for the country to add Bitcoin to its reserves had stalled over concerns related to the perceived risks associated with the cryptocurrency. According to reports at the time, Schlegel claimed that digital…