Visa, Mastercard, Stripe, and Coinbase Commit $1 Billion to New Stablecoin: Is Open USD a Challenge to Tether, USDC, and RLUSD? - 24/7 Wall St.

A group of major payments and crypto firms—including Visa, Mastercard, Stripe, and Coinbase—has committed $1 billion to a new stablecoin initiative, according to 24/7 Wall St. The project, referred to as Open USD, would enter a market currently dominated by Tether (USDT) and Circle's USDC, with Ripple's RLUSD among the newer entrants.

The significance lies less in the dollar figure than in the participants. Visa and Mastercard sit at the center of global card settlement, while Stripe and Coinbase bring merchant and exchange distribution. A stablecoin backed by that combination could plausibly find use in payment flows where incumbents have so far seen limited adoption.

What to watch: whether Open USD discloses its reserve structure and issuer, how regulators receive it, and whether merchants and exchanges outside the founding group adopt it. Stablecoin competition has historically rewarded liquidity and trust over branding, so the coalition's ability to convert its reach into actual transaction volume will be the real test.