Ethereum Wins Institutional Vote with New Stablecoin Backed by BlackRock

A new institutional-focused stablecoin called Open USD (OUSD) is set to launch on Ethereum, backed by a consortium of over 140 companies including Visa, Mastercard, and BlackRock.

The announcement was made by Ethereum Institutional, which stated that OUSD will debut on Ethereum with support from the broad coalition of financial and technology firms. The project is being developed by Open Standard, an independent company designed to govern the stablecoin via a consortium model that does not rely on a single issuer.

OUSD aims to differentiate itself from established stablecoins such as USDT and USDC by distributing the earnings generated from its reserve assets to ecosystem partners instead of concentrating those revenues with the issuer. Businesses will also be able to mint and redeem the stablecoin without fees or artificial volume limits.