In a major step toward financial innovation, the Wyoming Stable Token Commission has partnered with LayerZero to develop and distribute the state’s official stablecoin.
Announced on March 26 at the DC Blockchain Summit, Wyoming Governor Mark Gordon and Commission Executive Director Anthony Apollo confirmed that the Wyoming Stable Token (WYST) has now entered its testing phase.
WYST is being tested on various blockchain networks like Avalanche, Solana, and Ethereum to ensure effective integration. While valueless, the test tokens are essential for system verification before the stablecoin’s official launch. WYST aims for stability and transparency and is fully backed by cash and U.S. Treasury securities. Interest from these reserves will support Wyoming’s school foundation fund. The stablecoin will also be overcollateralized, maintaining more reserves than tokens issued to enhance its value and security.
Governor Gordon emphasized Wyoming’s leadership in blockchain adoption, stating that the state’s proactive regulatory approach has positioned it as a model for other jurisdictions, including the federal government.
“Our forward-thinking approach to blockchain and digital asset legislation has positioned Wyoming as a model for not only other states, but the federal government as well,”
Mark Gordon noted.
The commission has chosen LayerZero’s Omnichain Fungible Token (OFT) standard to improve WYST’s functionality, allowing secure cross-chain transfers without centralized bridges, which enhances security and interoperability among blockchain networks. A successful test transaction demonstrated the transfer of WYST between Ethereum and Avalanche using the LayerZero-powered Stargate bridge. According to the official announcement, users will have the flexibility to transfer WYST through any compatible interface.
Meanwhile, ARMswap is set to launch its decentralized finance (DeFi) protocol in January 2025, designed to address blockchain fragmentation with optimized cross-chain swaps and bridges. The initial version (V1) will support 31 blockchains, expanding quarterly. Security audits by Hashlock will ensure safety, and the upcoming V2 will integrate with Chainlink and Axelar.
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