Open USD takes on Tether, Circle with a different stablecoin model that's 'building money'
Reported by CoinDesk · AI-assisted summary by ChikoCorp AI News Desk
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Summary
Open USD (OUSD), a new stablecoin backed by Coinbase, Mastercard, Stripe, Visa, and Shopify, launched on September 30, 2026, on Ethereum, Solana, Base, and Tempo blockchains. The stablecoin aims to disrupt the market dominated by Tether’s USDT and Circle’s USDC by using a model that distributes equity and rewards to companies that grow the OUSD supply and transaction activity. Open Standard, the issuer, has over 200 partners and a founding group of five key investors each holding equal equity and committed over $1 billion to liquidity.
Why it matters
Open USD introduces a novel economic model that ties equity distribution to the activity and growth of the stablecoin supply rather than concentrating revenue with a single issuer. This setup could incentivize broader industry participation in stablecoin growth and usage, potentially making OUSD deeply integrated into banking, payments, institutional trading, and cross-border transactions.
Key context
Stablecoins USDT and USDC currently dominate the $300+ billion market. Open Standard was initially revealed in June 2026, attracting attention due to the involvement of major USDC partners like Coinbase, Visa, and Mastercard. Unlike traditional stablecoins that concentrate revenue with issuers, Open Standard plans to share equity and rewards widely based on partner contributions over 4-5 years. The model excludes minting and burning fees, targeting cost savings for large transfers.
Key numbers and entities
Open USD launched by Open Standard. Founding partners and investors: Coinbase, Mastercard, Shopify, Stripe, and Visa, each with an equal initial equity stake. Over 200 partners in the network, including UBS, SBI Holdings, and fintech Jeeves. The stablecoin market is valued over $300 billion, with USDT circulating approximately $143 billion and USDC about $74 billion. Open Standard committed more than $1 billion to OUSD liquidity.
What remains unclear
The source does not disclose the size of each founding partner’s investment or equity stake beyond equality. Specific thresholds for partner equity rewards and the exact formula for how supply and transaction activity translate into equity are not provided. The practical impact on existing stablecoin users and how the governance board will operate remains unspecified.