#CryptoRegulation

Wyoming announced plans to issue the WYST stablecoin in July of this year. Why do they need this?

- First of all, they want to attract investments to the state by showing how progressive they are. The result could be newly opened companies, offices, new jobs, and more taxes collected.

- Additionally, the reserves that will be created to back the stablecoin are planned to be invested to generate passive income. This income will be directed towards projects in education and infrastructure. Thus, the quality of life for residents will improve, and dependence on federal finances will decrease.

- Profit. This is not mentioned, but the state will make money from issuing the stablecoin. Based on the concept of seigniorage (the difference between the cost of issuing a token and its nominal price) and various fees, and possibly from loans. Earnings will depend on the acceptance of WYST.

There may be problems due to the issuance by a government body. There will be concerns about centralized control and increased regulatory burden. But for the same reasons, trust in WYST may turn out to be higher.

How it will be in reality is unknown.