- Wyoming is planning to launch the first fiat-backed stablecoin to be issued by July 2025
- The Wyoming Stable Token, WYST is currently being tested on multiple blockchain networks.
- The Stablecoin market cap was $225B in early 2025, fueled by institutional adoption.
Wyoming is taking the lead by introducing the first state-backed US digital token and has planned to initiate its own stablecoin in July. The country has begun testing its stablecoin, Wyoming Stable Token (WYST), with deployments on seven networks, including Ethereum, Solana, Avalanche, Arbitrum, Optimism, Polygon, and Base. The announcement was made on March 26th by the Wyoming Stable Token Commission (STC). Along with the commission, Wyoming Governor Mark Gordon and STC Executive Director Anthony Apollo shared details during the DC Blockchain Summit.
Apollo confirmed that WYST has been deployed using valueless tokens for initial testing, powered by LayerZero’s Omnichain Fungible Token Standard. Further, Governor Gordon, speaking at the summit, praised Wyoming’s efficiency in adopting blockchain technology, noting,
I don’t think there’s any banks that have been really eager, right? To jump in. Our forward-thinking approach to blockchain and digital asset legislation has positioned Wyoming as a model for not only other states but the federal government as well.
Wyoming’s stablecoin idea emerged in 2022 and gained momentum in March 2023 with the Wyoming Stable Token Act, eventually leading to the creation of the Wyoming Stable Token Commission. The Commission, which is leading the launch of WYST, says the token will be fully backed by the US dollar, with reserves comprising cash, US Treasury securities, and purchase agreements. It will also maintain a statutory requirement with a minimum of 102% capitalization.
According to the March 20 press release, Wyoming planned to create revenue streams through interest generated from these reserves to fund education and infrastructure. Additionally, Apollo noted that the future holders of WYST would be able to transit dollar-denominated value globally, at any amount, with significantly lower transaction costs than traditional systems, such as electronic fund transfers or wire transfers.
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Wyoming’s decision came after many other investment giants had established their stablecoin. Companies like BlackRock, Franklin Templeton, and Fidelity have announced the potential launch of their own stablecoins. While private entities like Tether (USDT) and USD Coin (USDC) have long dominated the stablecoin market, Wyoming’s bold move signals a shift toward public sector integration of digital assets. This proves the growth of blockchain technology, which is catching the attention of major financial institutions.
This decision by Wyoming State paves the way for a new wave of trust, adding credibility and regulatory assurance. If Wyoming’s launch was successful, it could spark a nationwide effect, with other US states venturing into government-backed digital currencies. Eventually marking a new era of government-backed digital cash.
