"Digital cash is a core component of a future financial market fabric based on blockchain technologies," UBS Investment Bank's head of fintech innovation Hyder Jaffrey said.
Great initiative, and also a different route of starting small, proof it and than add parties to the group vs some initiatives that start with15-25 banks, and than get going
Swiss bank UBS (UBSG.S) is leading a team of four of the world's biggest banks developing a system to enable financial markets to make payments and settle transactions quickly using blockchain technology. UBS has developed a "Utility Settlement Coin" (USC), which is a digital cash equivalent of each of the major currencies backed by central banks, such as the dollar or euro, rather than a decentralized new digital currency such as bitcoin. The USC would be convertible at parity with a bank deposit in the corresponding currency, making it fully backed by cash assets at a central bank. Spending a USC would be the same as spending the real currency it is paired with, UBS said.