Wyoming Deploys Its Own Stablecoin (WYST) Targeting Avalanche, Solana, Ethereum

At the DC Blockchain Summit held in March, Anthony Apollo, executive director of the Wyoming Stable Token Commission, hosted a special fireside chat

At the recent DC Blockchain Summit, a special fireside chat with the chairman of the Stable Token Commission and governor of Wyoming, Mark Gordon, was held, and the executive director of the commission, Anthony Apollo, made a fresh announcement.

As reported by Pan News, Apollo disclosed that the Wyoming stablecoin, known as WYST, has commenced its testing phase on multiple blockchain networks.

This marks the first instance of a public entity in the United States issuing a stablecoin, which is backed by fiat currency and adheres to full reserve principles.

The stablecoin committee aims to launch WYST on publicly accessible blockchains, including Avalanche, Solana, Ethereum, Arbitrum, Optimism, Polygon, and Base.

These initial, valueless test tokens have been deployed on the testnet in collaboration with token issuance partner LayerZero.

However, the plan has subsequently drawn attention and criticism from senior Republican politicians, who have expressed concerns about Wyoming's establishment of a CBDC (central bank digital currency).

Pointing out that the chairman of the Stable Token Commission is the governor of Wyoming, and the executive director is the first president of the commission, it is no wonder that this project has attracted attention in the political circle.

The Wyoming Stablecoin Commission was established in March 2023, with the legal basis being the Wyoming Stablecoin Act. Its mission is to issue stable tokens that are fully backed by state law and fiscal responsibility.

Its mission is to enhance financial transparency through blockchain innovation while driving economic growth.

The Commission selected LayerZero’s OFT (Omnichain Fungible Token) standard and vast experience in developing secure smart contracts to provide a robust, scalable, and compliant solution that meets the Commission’s legislative mandate for multi-chain stablecoins.

As part of preliminary testing, Stargate, a third-party cross-chain bridge supported by LayerZero, conducted a demonstration transaction of WYST between Ethereum and Avalanche testnet.

WYST's architecture as an OFT means that it can be bridged through any compatible interface - Stargate is just one example.

During the fireside chat, Governor Gordon highlighted Wyoming's commitment to transparency and innovation, noting the potential of blockchain technology to create a secure and efficient financial ecosystem.

“We are excited to share Wyoming's vision for state leadership in the nation's capital,” Gordon noted.

“Our forward-thinking approach to blockchain and digital asset legislation positions Wyoming to serve as a model not only for other states but also for the federal government.”

According to the official website of the committee, the two leaders have both financial and blockchain experience.

Mark Gordon has served as the governor of Wyoming since November 2018 and has signed more than 30 pieces of legislation involving cryptocurrency, blockchain, and digital assets. He served as the Secretary of the Treasury of Wyoming (2012–2019).

Anthony Apollo was appointed as the first executive director of the Stablecoin Committee in September 2023 and has extensive experience in traditional finance (KPMG, EY) and the blockchain industry (ConsenSys, Rensa).

It is worth mentioning that Cynthia Lummis, who supports the national strategic reserve of Bitcoin, is also a senator from Wyoming.

On March 27, the X platform account of the Wyoming Stablecoin Committee also posted a photo of the committee's executive director Anthony Apollo and the executive director of the Presidential Digital Asset Advisory Committee Bo Hines, with the caption saying "We look forward to continuing our dialogue with governments that support digital asset management in the coming years."

We look forward to continuing our dialogue with governments that support digital asset management in the coming years. pic.twitter.com/K8eZ7YIx6j

— Wyoming Stabletoken Commission (@StabletokenCom) March 27, 2024

Stablecoin or CBDC? Commission slammed by fellow Republicans

Although the committee emphasized that WYST is not issued by the central bank and is fundamentally different from central bank digital currency (CBDC), the project has been treated with some sensitivity in Republican circles in the United States.

After the WYST plan announced its latest progress, U.S. House Majority Whip and Republican Tom Emmer rarely publicly criticized the actions of his colleagues in the party.

"I respect the vote of the people of Wyoming, however, I personally strongly oppose any government issuing a tokenized version of its currency," Tom Emmer told the media.

"At the federal level, this would be considered a central bank digital currency."

Central bank digital currencies (CBDCs), digital versions of national fiat currencies, have become the most feared "monster" by Republican