Wyoming’s Blockchain Treasury Push: Stable Token Commission Eyes Major Shift

YEREVAN (CoinChapter.com) — The Wyoming Stable Token Commission is advocating for greater financial transparency through blockchain technology. Anthony Apollo, the commission’s executive director, believes a real-time, traceable system would enhance oversight of state funds.

Apollo pointed to the WyOpen digital platform, which already provides financial transparency, but argued that blockchain could go further.

“There should be an expectation that taxpayer funding is made readily apparent to the citizens who put those dollars forward. I’m not going to speak on behalf of any directors or other agencies, but that is my own personal opinion. I think that in Wyoming, that will go far,”

Apollo said. He noted that Wyoming’s forward-thinking approach makes it an ideal candidate for blockchain-based government finance.

The Wyoming stable token is expected to hit testnet in six weeks, with a full launch planned for next quarter.

Wyoming Stable Token’s Blockchain Selection Sparks Debate

The Wyoming stable token is set to launch on Avalanche or Sui, according to a Feb. 14 shortlist of qualified vendors. The selection process narrowed 25 blockchain candidates down to nine, with Solana and Avalanche receiving the highest scores.

Ava Labs (Avalanche) and Mysten Labs (Sui) are currently in final-stage oral interviews. Other contenders include Bridge Ventures, LayerZero Labs, and Fireblocks for token development, while Fireblocks and Blockchain.com are being considered for token distribution and support.

The exclusion of Cardano caused controversy. Charles Hoskinson, the blockchain’s founder and a Wyoming resident, criticized the transparency of the process. He pointed out that Cardano now meets the “freeze and seize” requirement—a feature previously cited as missing.

Apollo defended the process, stating,

“Any kind of statement that we’ve not been transparent is extremely antithetical to how we’ve operated along the way.”

Hoskinson responded by launching the Wyoming Integrity Political Action Committee to challenge the state’s procurement policies.

Despite the pushback, an attempt to defund the Stable Token Commission failed in the Wyoming Senate. Apollo noted,

“That amendment did not even receive a floor vote. It was withdrawn before it even went forward.”

Hoskinson Calls for Greater Transparency in Wyoming’s Crypto Policies

Hoskinson’s concerns go beyond Cardano’s exclusion. In a video statement, he criticized the Wyoming Stable Token Commission for a lack of public disclosure on the selection process. He argued that the criteria for blockchain selection should have been made available, allowing platforms to adjust their proposals accordingly.

Hoskinson also pointed out that non-Wyoming-based entities were selected for the project, even though Cardano operates in the state with a local workforce. He claimed that Wyoming businesses were at a disadvantage while outside firms gained priority.

Hoskinson specifically took issue with the involvement of Anthony Apollo, a former employee of ConsenSys, the company behind Ethereum. He questioned whether Ethereum’s preference in the selection process was intentional or coincidental, noting that Apollo previously advocated for building on Ethereum.

Wyoming Stable Token Backed by Treasuries and Designed for Yield

The Wyoming stable token will be fully backed by U.S. Treasuries, cash, and repurchase agreements, ensuring a 102% capitalization to mitigate depegging risks. Securitize, Franklin Advisors, and The Northern Trust have been shortlisted for reserves management, while three of the Big Four accounting firms are under consideration for internal controls.

Apollo confirmed that the Wyoming stable token could offer yield to token holders. The commission is exploring ways to distribute interest earnings, stating,

“When we’re collecting that interest, it’s possible that some portion of that interest will be disseminated to holders.”

To address privacy concerns, the commission is considering zero-knowledge proofs, which would allow private transactions without compromising compliance. Businesses often avoid fully transparent blockchains due to competitive risks, making privacy-enhancing solutions a priority in blockchain selection.

Wyoming Integrity PAC Challenges State Procurement Process

In response, Hoskinson launched the Wyoming Integrity PAC, a political action committee aimed at pushing for procurement reforms in the state. He described the PAC’s mission as a way to ensure transparency in government contracts and fair competition among businesses.

He emphasized that the PAC is not solely focused on crypto, stating that procurement transparency is a bipartisan issue affecting all industries. His goal is to support candidates who advocate for open bidding processes and accountability in state contracts.

Legislators Defend Stable Token Commission Amid Criticism

While the controversy gained traction, Wyoming lawmakers did not move forward with efforts to defund the Stable Token Commission. The failed amendment suggests that, for now, state legislators support the commission’s direction.

Apollo dismissed claims of bias, reiterating that the selection process followed legal guidelines. However, he acknowledged that public concerns over transparency are valid and could influence future procurement policies.

Wyoming Stable Token on Track for Q2 Launch

The Wyoming Stable Token Commission will select vendors by Feb. 27. Apollo expects to choose multiple vendors and start testing in March. The team plans to deploy the first testnet by the end of Q1 and launch publicly by the end of Q2.

Blockchain.com will list the token first. The commission aims to comply fully with U.S. regulations, integrate the token into DeFi applications, and ensure transparency and security.

Wyoming’s Crypto-Friendly Leadership: Lummis and Gordon’s Role

Wyoming’s crypto-friendly stance has been shaped by policymakers like Governor Mark Gordon and Senator Cynthia Lummis. Gordon chairs the Stable Token Commission, overseeing the initiative’s development. Lummis, a long-time Bitcoin advocate, has supported numerous pro-crypto regulations in the state.

Wyoming has passed over 30 blockchain-related laws, including a legal framework for DAOs (Decentralized Autonomous Organizations). The state is also home to Custodia Bank, a digital asset institution founded by Caitlin Long, and has established itself as a hub for blockchain innovation.

Senator Hagerty’s Stablecoin Bill and Wyoming’s Role

At the federal level, Senator Bill Hagerty introduced the GENIUS Act on Feb. 5, aiming to create a stablecoin regulatory framework. Apollo confirmed that Wyoming officials are in discussions with lawmakers drafting the bill.

“We expect to have a voice in the process,”

he said.

Moreover, while the Wyoming stable token is a state initiative, the commission is closely monitoring federal developments. Above all, Apollo noted that a clear regulatory framework for stablecoins could provide needed legal certainty for the broader crypto industry.

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