CubETH is a project to evaluate and demonstrate possibilities of low-cost GNSS receivers on a nano-satellite by following the Cubesat standard. The development of this new Swiss cubesat mission is underway at the Swiss Polytechnical Schools, launch is planned for 2016. Scientific goal are: precise orbit determination and estimate of satellite attitude based on a very short baseline together with a number of other experimental measurements. Programmatic goal is to implement this project in cooperation between federal (ETH/EPF domain) and cantonal (FH/HES domain) engineering schools and industrial partners. The educational objective is to involve engineering students from various schools across Switzerland to promote innovative teaching of engineering of complex systems. In this paper, we will discuss performance requirements for the CubETH spacecraft and its payload. We also show how lessons learned from the Swisscube satellite were used for the design and implementation of this project.