Visa, Mastercard, and Coinbase Join Consortium Launching Open USD Stablecoin Network

A consortium bringing together more than 140 financial institutions, payment companies, fintech firms, and digital asset businesses has launched Open Standard, a collaborative initiative aimed at accelerating institutional stablecoin adoption through a new U.S. dollar-backed digital currency called Open USD.

The consortium includes major industry participants such as Visa, Mastercard, Coinbase, BNY, and other financial infrastructure providers, reflecting growing institutional interest in developing interoperable stablecoin networks under a shared governance model.

Open USD is expected to go live later this year, as reported by Reuters.

Open Standard Introduces a Shared Stablecoin Model

Unlike traditional stablecoins issued by a single company, Open USD has been designed as a consortium-backed digital dollar intended to support broader institutional participation.

According to Open Standard, participating businesses will be able to mint and redeem Open USD without transaction fees or volume limits, lowering operational barriers for institutions seeking to integrate stablecoins into payment, settlement, and treasury operations.

The consortium also plans to distribute income generated from the reserves backing Open USD among participating members after deducting operational management fees, creating an economic model intended to encourage ecosystem growth.

Zach Abrams, Founding CEO of Open Standard, said existing stablecoins have proven their value but require greater openness and scalability to support broader commercial adoption.

"Existing stablecoins have great strengths, but to use them at scale, businesses need something that's open, low-cost, high-throughput, broadly accessible, and aligned to their interests."

Institutional Momentum Builds After the GENIUS Act

The announcement comes as the United States continues implementing the regulatory framework established under the GENIUS Act, which introduced the country's first comprehensive federal rules governing payment stablecoins.

The legislation has accelerated institutional interest across traditional finance, with banks, payment networks, asset managers, and fintech firms increasingly developing products designed for regulated stablecoin ecosystems.

Although stablecoins remain primarily used within digital asset markets, policymakers and industry participants expect clearer regulation to support wider adoption in payments, treasury management, and cross-border settlements.

Consortium Governance Reflects a Broader Industry Trend

Open Standard's governance model differs from many existing stablecoin issuers by distributing both operational participation and reserve economics across multiple organizations rather than concentrating control with a single issuer.

Carolyn Weinberg, Chief Product and Innovation Officer at BNY, said the model combines neutral governance with shared economic incentives that could support the next stage of digital asset adoption.

The initiative follows a growing trend toward collaborative stablecoin infrastructure. In 2024, several fintech and crypto firms launched the Global Dollar Network, another consortium seeking to expand institutional use of regulated digital dollars.

Stablecoin Competition Continues to Evolve

Open USD enters an increasingly competitive stablecoin market, where issuers are shifting their focus beyond token issuance toward payment infrastructure, institutional settlement, and regulated financial services.

Rather than competing solely on circulation, new entrants are increasingly differentiating themselves through governance models, reserve transparency, interoperability, and integration with existing financial infrastructure.

The participation of Visa, Mastercard, Coinbase, and other financial institutions suggests that the next phase of stablecoin competition may be shaped not only by technology, but also by collaborative networks capable of supporting large-scale institutional adoption.