A coalition of prominent financial and crypto companies has unveiled Open USD (OUSD), a US dollar-pegged stablecoin designed to give holders the unique advantage of receiving all earnings generated from its reserve assets. Backed by industry giants such as Visa, Mastercard, Coinbase, Ripple, OKX, and Bybit, OUSD intends to compete directly with market leaders Tether’s USDT and Circle’s USDC.
The initiative, led by Open Standard, promises businesses the ability to mint OUSD without any fees or volume restrictions, allowing them to benefit fully from the stablecoin’s reserve income. This model contrasts with existing stablecoins, which typically do not return reserve yields to holders or users. The move marks a significant shift in the stablecoin landscape, potentially attracting users by aligning incentives with reserve revenue sharing.
Open Standard plans to launch OUSD later this year as the stablecoin market continues to expand rapidly. According to DeFi analytics platform DefiLlama, the current stablecoin market exceeds $312 billion and analysts project growth up to $4 trillion by 2030. This ambitious project’s backing from top payment processors and cryptocurrency exchanges signals a potentially transformative competitive dynamic in the sector.
Circle Internet Group, the issuer of USDC, saw its share price fall markedly following the announcement, reflecting market sensitivity to emerging rivals. Circle’s CEO expressed openness to innovation and competition within the stablecoin space, signaling continued investment in infrastructure supporting both US dollar and non-US dollar stablecoins.
The regulatory environment also supports this momentum. The GENIUS Act, a US federal law signed last year, sets a clear framework for payment stablecoins, encouraging broader issuance and adoption of digital dollar alternatives. As authorities finalize implementation rules, projects like Open USD may find regulatory clarity that accelerates their market penetration and institutional use.