Stablecoins are gaining significant traction in the United States, with various new developments, including a House of Representatives bill, the launch of Trump-backed USD1 stablecoin, and Wyoming’s state-backed WYST token, Blockhead reports.
On Wednesday, the House of Representatives made its version of the stablecoin bill official, following the Senate’s approval of a similar measure. Earlier this month, the Guiding and Establishing National Innovation for US Stablecoins Act (GENIUS Act) passed the Senate Banking Committee with bipartisan support. This bill, sponsored by Senator Bill Hagerty (R-Tenn.), is designed to establish a comprehensive regulatory framework for stablecoins, which are digital currencies pegged to traditional assets like the US dollar.
Hagerty emphasized the importance of a stablecoin regulatory framework, stating:
“As the world modernizes its payment systems, the US cannot be left behind. Stablecoins can play a pivotal role in spurring that modernization.”
The House’s proposal, led by Rep. Bryan Steil and Rep. French Hill, seeks to regulate the issuance of dollar-denominated digital tokens. Steil described the new bill as a way to “close the gap” between the House and Senate versions, while Hill called it a “strong continuation of our work on digital assets.”
In parallel with legislative progress, World Liberty Financial (WLFI), backed by former President Donald Trump, recently announced the launch of its own stablecoin, USD1. This new stablecoin is pegged to the US dollar and is aimed at providing a secure and reliable digital asset for both institutions and retail investors. WLFI’s USD1 is custodied by BitGo and is backed by short-term US government treasuries, dollar deposits, and other cash equivalents. USD1 will initially be minted on the Ethereum and Binance Smart Chain (BSC) blockchains, with plans for expansion in the future.
Mike Belshe, CEO of BitGo, emphasized the importance of the partnership, stating:
“The launch of USD1 represents a significant advancement in institutional-ready digital assets, combining deep liquidity with the assurance that reserves are securely held and managed within regulated, qualified custody.”
Meanwhile, in Wyoming, the Wyoming Stable Token Commission is preparing for the official launch of WYST, its state-backed stablecoin. At the DC Blockchain Summit, Wyoming Governor Mark Gordon and Commission Executive Director Anthony Apollo confirmed that WYST has entered its testing phase. Wyoming’s approach to blockchain and digital asset legislation is seen as a model, not just for other states but also for the federal government.
WYST is being tested on multiple blockchain networks, including Ethereum, Solana, and Avalanche, with the aim of refining the system before its official launch. The token will be fully backed by cash and US Treasury securities, with earnings directed toward Wyoming’s school foundation fund. The token will also be overcollateralized to ensure long-term stability. If testing goes smoothly, WYST could officially launch as early as July 2025.
