CoinTelegraph
A reader poll on the Open USD stablecoin initiative drew 671 votes and a 48% bullish, 32% watching, 20% skeptical split. Our analyst sits with the skeptics.
Why it matters
Open USD pitches a model in which reserve earnings are shared with partners rather than captured by the issuing entity. The roster reportedly runs past 140 names, including Visa, Mastercard, BlackRock, and Coinbase. Paxos ran a structurally similar arrangement in 2024 and ended the year near $3B in supply, against USDC's $73B and USDT's $145B. Great idea, limited traction.
Samsung, Shinhan, Dunamu, and K-Bank have publicly said they never finalized talks on Open USD, raising the question of how many of the 140+ names are actually committed versus casually associated.
Market impact
The structural pressure falls on Circle. A partner-aligned earnings model with BlackRock and the card networks as anchors is exactly the kind of distribution advantage that compresses incumbent margins in steady-state. Whether the partner count survives scrutiny is the next data point that decides the read.
Frequently asked questions
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What is Open USD?
Open USD is a stablecoin initiative that shares reserve earnings with distribution partners rather than capturing them at the issuer. The reported partner list runs past 140 names, including Visa, Mastercard, BlackRock, and Coinbase.
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How did Paxos's similar model perform in 2024?
Paxos ran a structurally similar earnings-share arrangement in 2024 and ended the year near $3B in supply, against USDC's $73B and USDT's $145B.
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Why are Samsung and the Korean banks pushing back on the partner count?
Samsung, Shinhan, Dunamu, and K-Bank have publicly said they never finalized talks on Open USD, which raises questions about how many of the 140+ reported names are actually committed versus casually associated.
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How does Open USD affect Circle?
A partner-aligned earnings model anchored by BlackRock and the card networks is the kind of distribution advantage that compresses incumbent margins in steady state, and Circle is the most direct incumbent on that axis.
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What is the reader sentiment on Open USD?
A 671-vote poll came back 48% bullish, 32% watching, and 20% skeptical, with our analyst sitting with the skeptical minority.
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