The U.S. State of Wyoming plans to launch a dollar-based stablecoin in the first quarter of 2025. Known as the Wyoming stable token, the digital asset is intended to provide individuals and businesses based in the state with a faster and cheaper way to transact.
According to a CNBC report, the stablecoin is also expected to create a new revenue stream for Wyoming while serving as a model for a digitized dollar at the federal level. The report quotes Wyoming Governor Mark Gordon explaining the importance of adopting the “dollar-dependent” stablecoin.
“One of the big things for me is to be able to bring back onshore a lot of our debt, because if it’s bought by treasuries and supported by Treasurys, it will help to stabilize that market to a degree,” Gordon argued. Gordon acknowledged that digital assets are the future, but argued that Washington has failed to grasp this, prompting Wyoming to take the lead. Meanwhile, the report said the state is scouting prospective partners, including a crypto exchange and wallet provider, to help build the stablecoin.
Once ready, Wyoming will issue the stablecoin to the chosen exchange, which will then distribute it to retail users. Flavia Naves, a commissioner at the Wyoming Stable Token Commission, said the stablecoin will serve as just another payment method. When asked how the state plans to prevent de-pegging, Naves explained that the digital asset’s reserves will have a buffer for such situations. She added that Wyoming will publicly release audits of the stablecoin to build trust.
Wyoming has framed its stablecoin plans as a response to the U.S. Federal Reserve’s reluctance to create a central bank digital currency (CBDC). Critics have expressed opposition to a CBDC over privacy concerns, but Naves said the Wyoming Stable token will run on public blockchains which undercuts state surveillance claims.
