Open USD, a new stablecoin backed by major firms like Mastercard and Visa, aims to disrupt the market with a unique equity distribution model.
Open USD, a new stablecoin initiative backed by notable companies such as Mastercard, Visa, and Stripe, officially launched on September 30, 2026, across multiple blockchain platforms including Ethereum, Solana, Base, and Tempo. This launch aims to disrupt the current stablecoin market, which is largely dominated by Tether's USDT and Circle's USDC.
Innovative Equity Distribution Model
CEO Zach Abrams highlighted that the majority of Open Standard's equity will be allocated to partners based on their contributions to the stablecoin's growth. Open Standard's founding partners include Coinbase, Mastercard, Shopify, Stripe, and Visa, all of which hold equal stakes in the initiative.
The total partner network has expanded significantly, now featuring over 200 companies, with recent additions like UBS and Japan's SBI Holdings. Abrams noted that Open USD is designed for various applications such as banking, cross-border transactions, and institutional trading, aiming to become a more useful alternative to existing stablecoins.
Growth and Future Plans
Initially launched with over 140 partners, Open Standard has seen its founding group streamline to five key players who have invested over $1 billion to enhance OUSD liquidity. Abrams dismissed concerns about a consortium structure, asserting that a smaller management team will oversee operations while rewarding partners based on their contributions to OUSD's supply and transaction activity.
Unlike traditional stablecoin models, which centralize profits with the issuer, Open Standard intends to distribute economic benefits among all partners based on their engagement with OUSD. Abrams expressed confidence in the stablecoin's potential, stating, "When are stablecoins successful? It's when they recede into the background and just become a core part of your mom's bank account."
Market Positioning and Future Outlook
As competition in the stablecoin arena intensifies, Open USD is positioning itself to address the growing demand for efficient currency transfers. Abrams anticipates that OUSD could grow to $1 billion in circulation within months and potentially exceed $100 billion in the coming years. The initiative's model includes eliminating minting and burning fees, which could lead to significant savings for companies using stablecoins.
Looking ahead, Abrams envisions Open USD's infrastructure processing hundreds of trillions of dollars annually as stablecoins become more integral to global financial transactions. This ambition reflects a broader trend where financial institutions are increasingly exploring jointly backed stablecoins.
