Wyoming Lawmakers Explore Digital Asset Integration Ahead of Stable Token Launch

As Wyoming prepares to launch the nation’s first state-administered stable token, lawmakers are actively exploring how to integrate and promote digital assets within the state’s financial infrastructure, Wyoming Tribune Eagle reports.

The stable token, known as the Wyoming Stable Token (WYST), is expected to be issued in early July, pending completion of technical and regulatory preparations.

Stable tokens, or stablecoins, are digital currencies backed by traditional assets such as the US dollar. Designed to minimize volatility, they offer a digital alternative to cash that can be used in fast, low-cost transactions.

The Wyoming Stable Token Commission was formed through the 2023 Wyoming Stable Token Act—the first legislation of its kind in the US—and includes top state officials such as the governor, treasurer, and auditor, along with subject-matter experts. The commission oversees rulemaking, token issuance, and the management of reserves backing the token. These reserves consist of short-term US Treasury securities and repurchase agreements, with interest revenue benefiting the state’s School Foundation Program.

At a recent meeting of the Legislature’s Select Committee on Blockchain, Financial Technology and Digital Innovation Technology, legal concerns were raised about the constitutionality of a state-issued token. However, Sen. Chris Rothfuss, D-Laramie, emphasized that the token is a digital representation of a US dollar held in trust by the state, distinguishing it from a cryptocurrency “coin.”

Anthony Apollo, executive director of the Wyoming Stable Token Commission, stated that test versions of the WYST—non-monetary “alpha” tokens—are already running on several blockchain networks. The official launch remains targeted for July 4, contingent on compliance and testing. Apollo added that WYST is designed for global use, offering near-instant, low-cost transactions with enhanced regulatory clarity and security through overcollateralized reserves.

Despite state-level support, digital assets still face resistance from many traditional banks in Wyoming. Rep. Lee Filer, R-Cheyenne, who operates a crypto mining company, noted that many financial institutions block transactions involving digital wallets.

In response, lawmakers point to Wyoming’s Special Purpose Depository Institutions (SPDIs)—or “speedy banks”—as a potential solution. These are fully-reserved institutions tailored to handle digital assets. There are also renewed efforts to collaborate with community banks and credit unions, following the withdrawal of previous federal guidelines that had discouraged digital asset integration.

At the federal level, the GENIUS Act is currently under consideration in Congress. This proposed legislation would define and regulate stablecoins while preserving state authority over state-regulated issuers. Chris Land, staff director for the US Senate Banking Committee and counsel to Sen. Cynthia Lummis, R-Wyo., noted that Wyoming’s Stable Token Commission would be exempt from the bill due to its governmental status. The bill also acknowledges SPDIs as legitimate issuers of stablecoins—marking a federal milestone for uninsured charter banks.

Lummis, a vocal supporter of digital innovation, is also working on broader digital asset legislation, including tax reforms for mining, staking, and small digital transactions.

State lawmakers, including Rep. Daniel Singh, R-Cheyenne, see the initiative as an opportunity to modernize Wyoming’s financial system. Singh, one of the youngest legislators, said the state’s approach to digital currency could “reinvent the entire banking industry” and provide future generations with essential financial tools.

“This is new territory,” Singh said. “This is one of the only areas in government where you’re dealing with new ideas.”