The Swiss Banking Association (SBA) has published a white paper on deposit tokens. The white paper proposes issuing deposit tokens on a public blockchain to settle transactions of tokenized assets. In addition to digital assets, it also focuses on future payments, including retail wallet-based payments, micropayments, and enterprise payments. Interoperability is seen as a fundamental principle of deposit tokens.
The SBA envisions three possible approaches. One avenue is so-called colored tokens, where each bank issues tokens according to its own rules. Another option is to standardize tokens, where each institution issues its own tokens, but there are standard rules that must be fully supported. The third path is Union Token, which is the path favored by the SBA.