The Wyoming Stable Token Commision said the initiative is moving towards policy and regulatory discussions.
That’s according to Executive Director Anthony Apollo, who attended two public meetings last week, including a hearing with the Legislature’s Select Committee on Blockchain, Financial Technology and Digital Innovation Technology and a Wyoming Stable Token Commision meeting, chaired by Gov. Mark Gordon.
During the Commision meeting, Apollo laid out a timeline that had a token launch date of May 26, 2025. He said “we want this out sooner rather than later,” and that despite the many moving parts of starting a state digital asset, the committee is not “looking for any more supplemental budgets” and will try to finish the job with what they have.
The effort started in 2023, when the state Legislature established the Commission tasked with creating a virtual currency backed by the U.S. dollar, called a stablecoin. It was initially intended to launch by the end of last year. When it does, Wyoming would likely be creating the first government-issued cryptocurrency in the U.S.
With the proposed launch now less than a year away, the Commission still has quite a bit of legwork. Before release, tasks such as an awareness campaign, hiring, stress-testing systems and a final report are needed.
First up is laying the foundation required for any form of digital coin: the creation of a blockchain system. Blockchain is a decentralized, digital ledger of data blocks originally intended for preventing backlogging or tampering with time-stamps on digital documents. While blockchain systems can be built from scratch on an individual computer, the state of Wyoming is looking for something more robust and capable of carrying fast and daily transactions. There's a number of startups and businesses that have experience creating blockchain systems, and Apollo said he’s been in talks with quite a few of them.
“I've now spoken to just about 600 people across 300 organizations who are interested in some way, shape or form on collaborating with [Wyoming on] stable token development,” Apollo said during the Stable Token Commission meeting last week. “About 70 percent of those are potential vendors who would like to propose a book of services to contribute towards the token.”
Apollo said selecting a vendor is targeted to happen by late February.
Apollo also announced the commission's hiring plans. The positions of chief financial officer and chief information security officer are still open. The commission recently hired Debra Brookes as chief risk and compliance officer. Brookes has experience with digital assets, blockchain systems and the regulation around them after her time at the New York Department of Financial Services. Additionally, the committee brought on Stephiane Chan as senior business project manager due to her past work with blockchain banking company Metal.
The commission also added a Frequently Asked Questions page for Wyomingites who want to know more about the state’s forthcoming digital asset. Apollo said he noticed confusion and common assumptions from individuals and media reports. He hopes for the Frequently Asked Questions page, with laymen inquiries like, “What is a blockchain wallet?” and “Why would I use a stable token over a dollar?”, will both inform and encourage the public to support the creation of a Wyoming stable token. Pew Research found a majority of Americans are distrustful of cryptocurrencies and similar digital assets. Some of that distrust was seen when one resident, Maggie Wisniewski from Sheridan, used public comment time to express her concerns about the energy consumption of a blockchain system.
“I was listening to one of your committee meetings last year,” said Wisniewski, “and one of the vendors that was speaking said it would take a high degree of energy to issue a Wyoming stable token, and I have not heard anyone discuss the issue of energy behind this”.
Some cryptocurrencies require consensus algorithms, or large computational mechanisms that can only be completed with the correct information, as a form of verification. One form of consensus is “proof-of-work,” which is an energy-intensive form of blockchain verification that requires the solving of increasingly large computational problems, meaning increasingly large amounts of energy. Apollo cited this proof-of-work verification system in his response to Wisniewski. However, he clarified the Commission had not yet reached a decision on the type of consensus algorithm to be used.
“There are blockchain networks that can use a lot of energy to validate transactions. There are many networks that do not use a lot of energy to validate transactions. The Stable Token Commission has not made a determination on which blockchain network it would use,” said Apollo.
As the Commission slowly approaches its final goal of a token release, lawmakers from across the aisle have shown their support. Sen. Chris Rothfuss (D-Laramie) and Rep. Cyrus Western (R-Big Horn) expressed encouragement to Apollo on the Commission’s progress.
Gordon also showed support, saying, “I don't want to speak for the Commission, but I do feel a sense of urgency on this. So if there are logical steps and we need to do special sessions that can be quite short [and] that's very specific, I'm not opposed to trying to make that happen.”
The next Wyoming Stable Token Commission meeting is planned for Oct, 24 at the Wyoming Capitol Auditorium in Cheyenne, with a remote option.
