Open Standard's OUSD Stablecoin Goes Live with Major Banking Support

Open Standard's shared stablecoin, OUSD, has gone live three months after its announcement. The new digital currency is backed by a consortium of over 140 banks, fintechs, payment companies, and crypto firms.

The stablecoin's success would pressure existing issuer models, particularly those popularized by Circle and Tether. Open Standard's CEO, Zach Abrams, stated that OUSD is built to change the way stablecoins operate, with a shared-economics model that rewards network participants based on volume driven across the network rather than assets under management.

The new stablecoin has attracted attention from major banks such as BNY, U.S. Bank, Huntington Bank, Citizens Bank, Cross River, The Bancorp, Pathward, and Lead Bank. Mastercard's BVNK, Stripe, Visa Stablecoin Platform, and Coinbase are also supporting OUSD, with the latter set to begin building on it starting October 1.

The launch of OUSD comes as the stablecoin market continues to mature following the passage of the GENIUS Act. Banks have been testing various digital assets, including their own stablecoins, and taking a broad approach to exploring this new technology.