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The Wyoming Stable Token Commission is planning to adjust its approach to launching WYST, a state-issued stablecoin, following recent guidance from the U.S. Securities and Exchange Commission (SEC).
The SEC recently introduced a definition for “covered stablecoins”—tokens exempt from certain reporting rules. Wyoming officials now want to ensure WYST fits the bill.
At an April 17 meeting, Commissioner Joel Revill said the commission might revise its terminology and framework to match the SEC’s language. This could help WYST avoid regulatory headaches down the road.
Executive Director Anthony Apollo confirmed that a formal memo outlining the proposed changes will be ready in May.
WYST is set to be fully backed by safe assets like U.S. Treasuries, cash, and repurchase agreements. It will be over-collateralized by 102%. That extra cushion is designed to prevent it from losing its peg—a common fear in the world of stablecoins.
The commission is also thinking about making the token yield-bearing. In plain English: WYST holders might get a cut of the interest earnings. That’s not common for state-backed tokens, and it’s catching people’s attention.
Not everyone is impressed. Cardano founder Charles Hoskinson says the selection process for WYST’s blockchain infrastructure was unfair.
He claims Cardano was excluded without a real reason and has threatened legal action. Critics say the commission needs to clean up its transparency before preaching innovation.
The commission is watching the U.S. Congress closely. Bills like the GENIUS Act and the STABLE Act are floating around, aiming to create a federal framework for stablecoins.
Depending on how that shakes out, Wyoming’s state coin project might need another round of updates.
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