Wyoming, already known for its forward-thinking laws, is positioning itself as a leader in the evolution of cryptocurrency payments. The state is currently working on launching the Wyoming Stable Token, a stablecoin backed by the US dollar, which is scheduled for the first quarter of 2025. This project aims to provide individuals and businesses with a faster and more cost-effective means of transaction while generating a new source of revenue for the state.
Wyoming Governor Mark Gordon has expressed his ambition for this project to serve as a model for a federal digital dollar. "Success would be the adoption of a stablecoin... transparent, fully backed by our short-term Treasury bonds, and dependent on the dollar," he stated at the Wyoming Blockchain Symposium in Jackson Hole. Wyoming thus hopes to stabilise the market by repatriating part of the national debt.
This isn't the first time Wyoming has disrupted norms. In 1977, the state created the LLC (Limited Liability Company) and has since adopted more than 30 cryptocurrency-related laws to create a favourable regulatory environment for businesses and investors.
While cryptocurrencies like Bitcoin are gaining popularity through ETFs, Wyoming is focusing on using cryptocurrencies for payments. The Wyoming Stable Token is seen as a major application of cryptocurrencies, paving the way for their widespread adoption.
Wyoming plans to partner with technical experts to develop and manage the Wyoming Stable Token. Platforms such as Coinbase and Kraken, which offer both exchange and wallet services, could play a key role in this project. "When you walk into Cowboy Coffee in Jackson, Wyoming, you'll be able to use your Solana wallet to buy your coffee with the Wyoming Token," said Flavia Naves, Commissioner of the Wyoming Stable Token Commission.
To ensure stability and public trust, Wyoming plans for total transparency with regular audits of reserves. Each token in circulation will be backed by a US dollar, and the information will be publicly accessible. "It's a public token, so like any public service, all information is available," added Naves.
The Wyoming Stable Token partially addresses the Federal Reserve's hesitation to create a central bank digital currency (CBDC). While more than 30 countries are already testing a CBDC, Wyoming is betting on public blockchains like Ethereum or Solana to avoid the privacy issues often associated with private blockchains.
Wyoming’s project could extend well beyond the dollar. "In the future, the intention is to use the same technology to tokenise other assets, whether it's commodities like gold or oil, real estate, or other government bonds," concluded Naves. The success of this initial initiative could thus pave the way for numerous other applications of blockchain technologies.
