diff --git a/system-tests/test/deposit-redemption.test.ts b/system-tests/test/deposit-redemption.test.ts
index 3c2b33197..2d9aa8b98 100644
--- a/system-tests/test/deposit-redemption.test.ts
+++ b/system-tests/test/deposit-redemption.test.ts
@@ -92,7 +92,7 @@ describe("System Test - Deposit and redemption", () => {
 
     tbtcTokenHandle = new EthereumTBTCToken({
       address: deployedContracts.TBTC.address,
-      signerOrProvider: depositor
+      signerOrProvider: depositor,
     })
 
     const bankDeploymentInfo = deployedContracts.Bank
@@ -259,6 +259,14 @@ describe("System Test - Deposit and redemption", () => {
             systemTestsContext.depositor.address
           )
 
+          // The `Bank` contract returns the balance in Satoshis. Here we convert
+          // the balance to the tBTC token precision because the
+          // `requestRedemption` function from tbtc-v2.ts lib requires the
+          // amount in tBTC token precision.
+          const requestAmountInTokenPrecision = BigNumber.from(
+            requestedAmount
+          ).mul(BigNumber.from(10).pow(10))
+
           // Request redemption to depositor's address.
           redeemerOutputScript = `0014${computeHash160(
             systemTestsContext.depositorBitcoinKeyPair.publicKey.compressed
@@ -268,7 +276,7 @@ describe("System Test - Deposit and redemption", () => {
             systemTestsContext.walletBitcoinKeyPair.publicKey.compressed,
             sweepUtxo,
             redeemerOutputScript,
-            requestedAmount,
+            requestAmountInTokenPrecision,
             tbtcTokenHandle
           )