The project, named Open Standard, brings together more than 140 companies that are part of the network. As part of the project, a new token, Open USD, pegged to the U.S. dollar, will be issued and launched this year.
The token’s launch aims to eliminate the barriers businesses face when scaling the use of stablecoins. Zack Abrams, founder and CEO of Open Standard, explained that existing stablecoins have their strengths, but for industrial-scale use, businesses need an open, low-cost, and high-performance tool. Companies will be able to issue and redeem Open USD free of charge and without volume restrictions, and revenue from the reserves backing the token will be distributed among the project’s partners after deducting a commission to cover operating expenses.
BNY’s Director of Products and Innovation, Carolyn Weinberg, noted that a stablecoin with neutral governance and a shared economy represents a unique combination capable of ushering in a new phase of growth for the digital asset market.
Earlier, in 2024, a number of fintech and crypto companies, including Robinhood and Kraken, had already joined forces to launch a similar global stablecoin network, the Global Dollar Network, the agency reports.
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