Open USD officially launched on June 30, backed by over 140 organizations spanning payments, banking, fintech, crypto infrastructure, and global business networks. As disclosed in the project’s design, this stablecoin aims to differentiate itself from existing major stablecoins through its issuance fees, reserve yield distribution, and governance structure.
Cancel minting and redemption fees
Open USD allows businesses to use the stablecoin without minting or redemption fees, and with no artificial transaction volume limits. For integrators, this means lower front-end costs when using the stablecoin as a payment and settlement tool.
The project also states that any income generated from reserve assets, after deducting operational costs, will be distributed to partners. This differs from the common practice among most stablecoin issuers, who typically retain the majority of reserve income, while distribution and circulation channels primarily serve as access and promotion channels.
Reserve yield distribution shifted to partners
One of the key selling points of Open USD is reallocating the economic returns of stablecoins to ecosystem participants. If this model is implemented, payment companies, banks, exchanges, wallet providers, and blockchain networks could receive higher incentives for promoting and using this stablecoin than under traditional models.
From an industry competition perspective, this arrangement targets not only the user payment experience but also the profit distribution between stablecoin issuers and channels. As stablecoins are increasingly used in cross-border payments, on-chain settlements, and institutional transfers, the allocation of reserve earnings has become one of the key competitive priorities.
Governance involves participation from multiple parties.
In terms of governance, Open USD does not follow a single issuer-led model. The project states that it will operate through the Open Standard, with a board composed of participating partners who collectively determine the product direction.
According to its description, the entities involved in governance include payment companies, banks, exchanges, wallet providers, and blockchain networks. This means the project aims to position the stablecoin as a payment network closer to public infrastructure, rather than a product controlled by a single company.
The article notes that multiple participants emphasize the same point: end users do not care which channels their funds pass through; they care more about whether the settlement is fast enough, the cost is low enough, and the experience is seamless. As stablecoin trading volumes continue to grow and institutional participation increases, industry competition is shifting from mere issuance scale to underlying settlement capabilities and the breadth of cooperative networks.