Rafomac News, Tech & Trends That MatterVisa is quietly backing a new stablecoin called OpenUSD (OUSD), tipping the scales in a market long dominated by Tether’s USDT and Circle’s USDC. This isn’t just another digital dollar—OUSD comes with a powerful consortium of over 160 leading firms and a fresh economic model that could change the stablecoin game.
Why Visa’s Move with OpenUSD Matters
Visa’s CEO Ryan McInerney insists the company won’t pick favorites among stablecoins, yet Visa has taken a significant step by integrating a new stablecoin called OpenUSD (OUSD) on its platform. Unlike the usual suspects—Tether’s USDT or Circle’s USDC—OpenUSD is backed by an impressive coalition of 167 companies, including giants like BlackRock, Mastercard, Stripe, Google, and Coinbase. This consortium approach isn’t just rare, it may signal a seismic shift in how stablecoins operate and who benefits.
This coalition reads like the who’s who of finance, tech, and crypto, making OpenUSD stand out in a market saturated with digital dollars. But it’s not simply the star-studded roster that raises eyebrows; it’s the stablecoin’s inner workings and business model that could disrupt the trillion-dollar stablecoin market.
What Sets OpenUSD Apart from Its Giants
At first glance, OpenUSD seems familiar: it’s pegged one-to-one to the US dollar and backed by cash and short-term dollar assets. The crucial difference lies in how OpenUSD distributes revenue and governance. Unlike USDT and USDC, which are issued by single companies that capture nearly all the revenue from their reserve assets, OpenUSD is governed by its consortium of partners, who share the profits.
This means any company in the Open Standard consortium can mint and redeem OUSD at zero cost – a dramatic cost-saving compared to fees charged by other stablecoin issuers. More so, the revenue generated by the stablecoin’s reserves flows back to this broad group of partners, instead of being pocketed by one issuer. For companies like Visa, Mastercard, and Stripe, this model could translate into millions, potentially billions, of dollars in new revenue streams.
How Big Players Earn from USDT and USDC
To understand why OpenUSD’s model is radical, you need to look at how Circle and Tether monetize their stablecoins. In the last quarter of 2025, Circle pulled in $770 million in revenue—95% coming from interest on US Treasury bills backing USDC. The full 2025 revenue hit $2.75 billion, though operational costs pushed the company to a loss.
Tether’s profits dwarf that, netting over $10 billion in 2025, mostly from interest on its Treasury bill reserves. Both also collect redemption and issuance fees that add to their massive revenues. Yet none of this revenue typically reaches the businesses adopting their stablecoins.
With OpenUSD, however, the profits are shared. Assuming even a modest $1 billion in earnings for the first year, divided among 167 partners, each could rake in close to $6 million—plus save on transaction fees and minting costs. This economic incentive could fuel adoption faster than any marketing campaign.
Visa’s Stablecoin Strategy Is Bigger Than Just OUSD
Despite Visa’s support for OpenUSD, the company still maintains a multi-chain, multi-coin approach. Its infrastructure already supports stablecoins like USDC, PayPal’s PYUSD, and Paxos USDG, with settlement pilot programs stretching across nine blockchains including Ethereum, Solana, and Polygon. Visa’s role appears less about betting on a single winner and more about building a robust platform to support all emerging digital dollars.
This strategy extends to product innovation, like stablecoin-linked Visa cards expanding to over 100 countries, enabling users to spend digital dollars while merchants receive fiat. Visa’s new platform enables banks and fintechs to issue, manage, and redeem stablecoins without building their own blockchain backbone. Support for integrations with lending protocols like Aave and custody networks such as Fireblocks signal a broad ecosystem play beyond just OUSD.
What This Means for Circle, Tether, and the Market
Even before OUSD’s launch, the market took notice. Circle’s stock dropped significantly following OpenUSD’s reveal and Visa’s endorsement. The big fear for Circle and Tether isn’t just a new stablecoin entering the arena—it’s that companies currently distributing USDC might demand a bigger cut of reserve earnings or lower fees to stay loyal.
Circle shares roughly 62% of USDC’s reserve income with partners but retains the rest, while OpenUSD proposes near-total revenue sharing with its partners. This threatens Circle’s margins even if OUSD never overtakes USDC’s market cap. Tether, with its stronghold in emerging markets and offshore dollar access, is less immediately threatened but not immune in the longer term.
Beyond financials, OpenUSD’s consortium model turns the usual issuer-distributor dynamic on its head, giving businesses an ownership and governance stake in the stablecoin they use. It’s a move that could redefine partnerships and competition in the space.
Can OpenUSD Break the USDT-USDC Duopoly?
USDT and USDC together currently dominate 83% of the $307 billion stablecoin market. Their deep liquidity and entrenched integrations pose a formidable barrier. History shows many stablecoins fail to gain traction despite strong backing. OpenUSD has the advantage of an unparalleled distribution network and a business model that turns users into stakeholders.
Whether this translates into widespread adoption depends on numerous factors including trust, liquidity, and proved utility. OUSD’s rollout on Solana and Base, with planned expansions to Polygon and others, alongside integrations with major custody and lending platforms, puts it on a promising path.
Ultimately, OpenUSD represents a new chapter where traditional financial giants collaborate on blockchain infrastructure once deemed the domain of decentralized disruptors. Instead of standing on the sidelines, these companies are shaping the future of digital payments with a stablecoin designed for their own economic benefit.
Visa’s multi-stablecoin infrastructure ensures it benefits no matter which digital dollar rises to prominence. Yet OUSD’s consortium structure and revenue-sharing model set it apart as a potential game-changer in stablecoin wars.
Whether it succeeds or just nudges the incumbents to change their game, OpenUSD has already forced a rethinking of stablecoin economics. In this shifting landscape, the days of USDT and USDC’s unchallenged dominance may be numbered.
