Stablecoins have largely split into two camps:

• Fiat-backed issuers optimize for stability and regulatory acceptance.

• DeFi-native protocols optimize for permissionless composability.

Open USD (OUSD) aims to combine the strengths of both camps without inheriting the weaknesses of each.

Open USD (OUSD) is designed as a stablecoin pegged to the US dollar, backed by short-term US Treasury assets, with onchain composability.

On the surface, OUSD looks like another dollar-backed stablecoin. What's unique?

Stablecoins rarely win on the tech front.

The differentiators are the answers to where the reserves live, is there yield, if yes, who earns the yield, what's the risk, how's exposure contained, and more.

In this piece, let's try to understand Open USD (OUSD), Open Standard's stablecoin, from these critical lenses.

What Is Open USD (OUSD)?

One quick clarification: written as one word, "OpenUSD" usually refers to Pixar's Universal Scene Description, an open 3D graphics format, and the OUSD ticker is also used by the older Origin Dollar stablecoin. This article is about Open Standard's dollar stablecoin, Open USD.

Open USD (OUSD) is a proposed dollar-backed stablecoin developed by Open Standard, a consortium Open Standard says includes more than 140 companies. It is designed around a shared issuance model in which most of the revenue generated from the reserves — minus a small management fee retained by Open Standard — is returned to the participating institutions that adopt and distribute it, while the stablecoin is built to be composable onchain.

As of early July 2026, Open USD is not yet live as a product; per Open Standard, the launch will happen later this year. It is set to launch natively on Solana from day one, with additional networks expected to follow.

Basics of Open USD (OUSD)

Maintaining a dollar peg is no longer the hardest problem in stablecoin design. So, the basics of Open USD remain universal.

• Each OUSD is designed to maintain a one-to-one value with the US dollar.

• OUSD reserves sit in cash and short-term US Treasuries, a similar collateral portfolio to most stablecoins.

• Open Standard is building Open USD to work across payments, payouts, trading, platforms, and agentic commerce — as an onchain asset, not just a currency for transfers.

The goal is for it to move across wallets, exchanges, and onchain applications while preserving the stability expected from a dollar-backed asset.

The difference between Open USD and traditional stablecoins is how distribution is incentivized.

How Open USD's Shared Issuance Model Works

Open Standard's biggest departure is how the stablecoin economics work for those who issue and distribute the stablecoin.

How Stablecoin Economics Work Today

Today's fiat-backed stablecoin market follows a straightforward model:

• Users hold stablecoins and use them for payments/transfers,

• Businesses integrate them into products, and

• The issuer manages the reserves backing those tokens.

Those reserves generate income, primarily from short-term US Treasury securities. In most cases, that income belongs almost entirely to the issuing company.

Banks, fintechs, payment providers, and exchanges, which are responsible for distributing the stablecoin to end users, don't earn a cent from the reserve yield.

That concentration of reserve economics has become one of the defining characteristics of the current stablecoin market.

Open Standard Proposes Shared Issuance

Open Standard proposes a different economic model for Open USD. Institutions in the consortium receive most of the yield generated by the reserves backing OUSD, after Open Standard retains a small management fee to cover operational costs.

For instance: a retailer routing payments through OUSD, or a bank custodying it, earns a share of the yield its own customers' balances are generating.

And for governance, a partner board drawn from the consortium — not a single issuer — governs protocol decisions collectively.

The objective is simple: organizations that help issue, distribute, and integrate Open USD also participate in the value created by the reserves.

Why This Changes Stablecoin Economics

Under the traditional model, a payment provider integrating a stablecoin helps expand the issuer's business while capturing little of the economic value generated by the reserves.

Open Standard's model attempts to reduce that imbalance by aligning reserve economics with distribution. If participating institutions directly benefit from reserve income, they have a stronger incentive to issue Open USD, integrate it into products, and build services around it.

Another small but key incentive for issuers: minting and redemption of Open USD are free, with no volume caps.

Whether that incentive is sufficient to drive adoption remains an open question. The consortium has announced the economic model, but details such as allocation formulas, participation requirements, and operational mechanics have not yet been publicly disclosed.

What's Next for Open USD (OUSD)

Open USD isn't attempting to reinvent how dollar-backed stablecoins maintain their peg. Its proposed innovation lies in the business model behind issuance.

Open Standard's bet is simple: institutions that distribute a stablecoin should also share in the value its reserves generate. If executed well, that model could give banks, fintechs, payment providers, and enterprises a stronger incentive to issue and integrate a common digital dollar.

Whether that vision succeeds depends less on the idea itself than on its execution. As of early July 2026, several implementation details — including reserve allocation, operational mechanics, and governance processes — have yet to be publicly disclosed. Some firms named among the partners, including several Korean companies, have said they have not formally committed, so the final roster may shift. Those details will determine whether shared issuance becomes a durable alternative to today's issuer-centric stablecoin model.

For now, Open USD is best viewed as an experiment in redesigning the economics of stablecoins rather than their collateral.