A coalition of global finance and technology heavyweights has launched a new U.S. dollar-pegged stablecoin, aiming to challenge market leaders Tether and Circle Internet Group Inc. by leveraging an unprecedented distribution network.

The digital asset, dubbed Open USD or OUSD, was unveiled Wednesday by Open Standard, a consortium founded by Visa Inc., Mastercard Inc., Stripe, Coinbase Global Inc., and Shopify Inc. The coalition spans more than 100 businesses, with additional backing from Google, BlackRock, and others. To seed immediate liquidity, founding partners committed roughly $1 billion to mint OUSD at launch, each receiving an equal initial equity stake in Open Standard.

Crypto giants Tether and Circle Internet Group collectively control more than 80% of the $308 billion stablecoin market. Standard issuers retain most reserve yields, but Open Standard upends this business model by distributing the “overwhelming majority” of its equity and platform rewards to partners based on adoption volume.

Analysts compare the approach to the member-owned models that propelled Visa and Mastercard into global payment juggernauts in the 20th century.

Open Standard CEO Zach Abrams, who previously led stablecoin infrastructure firm Bridge before its $1.1 billion acquisition by Stripe, said OUSD was explicitly engineered to eliminate the structural friction bottlenecking mainstream commercial adoption.

OUSD relies on established financial and blockchain architecture:

Issuance and reserves. Issued via Stripe’s Bridge infrastructure, underlying dollar reserves are held across BlackRock, BNY, and Lead Bank, with monthly attestations promised.

Blockchain deployment. OUSD is natively live on four major networks: Ethereum, Solana, Base, and Tempo.

Redemption and access. Businesses can mint and redeem OUSD fee-free at a 1:1 ratio against the dollar via the Visa Stablecoin Platform, Stripe, and BVNK (owned by Mastercard). Coinbase integration started Thursday.

Commercial integration. Stripe announced OUSD as its default stablecoin, enabling enterprises to hold tokens in Stripe Treasury, issue stablecoin-backed payment cards, and process cross-border payouts across more than 100 countries.

The consortium approach signals a major pivot for stablecoins, moving them from crypto-native trading tools into underlying B2B infrastructure for enterprise commerce, payouts, and loyalty programs.

Despite heavyweight backing, OUSD faces an uphill battle against entrenched liquidity. Tether’s USDT alone commands a market capitalization of about $184 billion. Furthermore, several coalition partners — including Visa, Mastercard, and Coinbase — reiterated that they remain multi-token platforms and will continue supporting rival coins like USDC.

Nevertheless, analysts view the launch as a direct threat to incumbents. Shares of Circle Internet Group faced selling pressure following the announcement as investors weighed the impact of distribution-led competition from the world’s largest payment processors.