Open USD officially went online on June 30, with more than 140 supporters, covering payments, banking, financial technology, encryption infrastructure and global business networks. According to the design of the project disclosure, this stabilization currency attempts to differ from the existing mainstream stabilization currency in terms of issuance costs, distribution of reserve proceeds and governance structures.
Cancellation and Foreclosure
Open USD states that the stable currency can be used by an enterprise without casting and foreclosure fees, and that no artificial trade volume restrictions will be imposed. For the access party, this means that the front-end costs will be lower when the stabilization currency is used as a payment and settlement tool.
The project also stated that the proceeds from the reserve assets would be distributed to partners after deduction of operating costs. This is different from the common practice of most issuers of stable currencies. Typically, the benefits of the reserve are largely retained by the issuer, with more distribution and distribution channels assuming the role of access and extension.
Transfer of reserve income to partners
One of the core sales points of Open USD is the redistribution of the economic benefits of the stable currency to ecological participants. If this model landes, payment companies, banks, exchanges, wallet service providers and block-chain networks may receive more incentives than traditional models when promoting and using the stable currency.
From an industry competition point of view, this arrangement is aimed not only at the user-end payment experience but also at the distribution of benefits between the issuer and the channel of the stable currency. As the use of stable currencies in cross-border payments, chain settlements and institutional transfers increases, the attribution of reserve gains is becoming a competitive priority.
Governance with multi-stakeholder participation
On the governance structure, Open USD does not follow a single issuer-led model. The project stated that it would be operated through Open Standard, with a Board of Directors comprising the participating partners, which would jointly determine the direction of the product.
As described, the main actors involved in governance include payment companies, banks, exchanges, wallet providers and block chain networks. This means that the project wants to position a stable currency as a payment network closer to the public infrastructure, rather than a product controlled by a single company.
According to the article, many participants emphasized the same direction: The end-users do not care about the channel through which the funds flow, much more about whether they arrive fast enough, whether they are low enough and whether they use them smoothly. As the volume of stable currency transactions continues to expand and institutional participation increases, industry competition is shifting from a purely distributional scale to a bottom-up clearing capacity and cooperative network coverage.