Visa, Mastercard, Coinbase Among 140 Firms Backing Dollar Stablecoin OUSD
Summary
- More than 140 companies, including Visa, Mastercard, and Coinbase, plan to launch the dollar-pegged stablecoin OUSD.
- OUSD will allow companies to issue the token with no fees or supply limits, while holders receive reserve yield directly.
- After news of the OUSD launch, shares of Circle Internet Group fell more than 16%, and Jeremy Allaire said the company would expand its stablecoin support.
Forecast Trend Report by Period
More than 140 financial and cryptocurrency companies, including Visa, Mastercard and Coinbase, are teaming up to launch a U.S. dollar-pegged stablecoin.
Open Standard announced it will launch OpenUSD, or OUSD, later this year, Cointelegraph reported on July 30. Participants include Visa, Mastercard, Coinbase, Ripple, OKX and Bybit.
OUSD will allow companies to issue the token with no fees and no cap on volume. It is also structured so that yield generated from reserves is paid directly to holders.
That differs from the model used by existing stablecoin issuers, which typically retain reserve income themselves.
Will Harborne, co-founder and chief executive officer of Rhino.fi, said the message was clear from Visa, Stripe, Mastercard, Coinbase and Google moving together on a new stablecoin. OUSD is the first project with a real chance to take market share from Tether's USDT and USDC because reserve yield will be distributed to all holders, he added.
Shares of Circle Internet Group fell more than 16% on the news, closing at $63.63. Circle Chief Executive Officer Jeremy Allaire wrote on X that he welcomed continued innovation and competition in the sector and would soon expand support for both dollar-pegged and non-dollar stablecoins.
The stablecoin market has surpassed $312 billion, according to DefiLlama, and is forecast to reach as much as $4 trillion by 2030. In the U.S., the market gained a regulatory foundation for growth after President Donald Trump signed the GENIUS Act last year, establishing a framework for payment stablecoins.
