Businesses in Switzerland working on an ethereum-based over-the-counter (OTC) trading platform say they have completed work on a new privacy solution.
Launched in September, the consortium includes a number of Swiss companies amongst its ranks, including telecom operator Swisscom, exchange operator SIX and Zürcher Kantonalbank, the country’s fourth-largest bank. The group is receiving support from Switzerland’s Commission for Technology and Innovation (CTI), a research organization supported by the federal government.
Now, the companies have jointly developed what they call an “encryption module” that prohibits certain types of information from being seen by other parties. At the same time, the module’s design is said to allow for law enforcement agencies to gain access to that information during investigations.
Project manager Mathias Bucher said in a statement:
“Our privacy solution paves the way for the usage of the ethereum blockchain in financial markets.”
The tool is now being put before the relevant regulatory bodies – a process that will play out over “the coming weeks”, according to Bucher. Among those involved on the regulation side of the project is the Swiss National Bank, the country’s central bank, which is reportedly overseeing development of the OTC platform.
The development is the latest news out of Switzerland’s growing blockchain scene.
The past months have seen bitcoin-buying services being offered by Swiss rail operator SBB and new blockchain work within the country’s finance services sector, for example.
Additionally, bitcoin wallet startup Xapo announced last week that it had received preliminary approval from the Swiss Financial Market Supervisory Authority (FINMA), Switzerland’s key financial regulator, to operate in the country.