Wyoming Governor Mark Gordon has officially announced the abandonment of the plan to establish a Bitcoin Reserve (state-level Bitcoin reserve), stating that Bitcoin's excessive volatility is not suitable for the state's financial strategy. Instead, he is committed to focusing on a more practical initiative: launching the WYST stablecoin this summer.
🔥 Wyoming Once Wanted to Buy Bitcoin with Public Funds
Back in January, #Wyoming was among the US states considering using public funds to buy Bitcoin for strategic investment purposes. However, by February, this bill was overwhelmingly defeated right from the first review stage, even though this state is controlled by the Republican Party.
According to Gordon, the state government learned from this failure: it cannot just chase the rising wave of Bitcoin without a reasonable plan.
🗣️ "Bitcoin is extremely volatile. We want to do something more practical, rather than diving in without consideration." – Gordon stated at the DC Blockchain Conference.
Instead of continuing to chase Bitcoin, Wyoming is currently focusing all its efforts on developing the WYST stablecoin, a project believed to have higher potential for providing sustainable benefits to state residents.
💰 WYST – Wyoming's Ambitious Stablecoin Project
#WYST is a stablecoin backed by the Wyoming government, currently in the testing phase and expected to launch in July.
📌 Why did Wyoming choose WYST instead of Bitcoin Reserve?
✅ More Stable: Not affected by the price volatility of Bitcoin.
✅ Transparent and Reliable: Sponsored by the state government, helping citizens feel secure in its use.
✅ Creates Real Value: The interest from WYST reserves will be used to fund Wyoming's education system.
Gordon emphasized that instead of going 'all in' on $BTC , Wyoming wants to ensure that the blockchain product they build is truly effective and useful for the citizens.
🗣️ "We want to ensure that the product works well, is transparent, and that the people can trust it."
Trump Pushes Bitcoin Reserve at the Federal Level, But States Say 'No'
Notably, President #DonaldTrump recently signed an order to establish a 'National Bitcoin Reserve'. This move has been welcomed by both the crypto industry and the Republican political sphere.
However, some conservative states, including Wyoming, have refused to implement similar measures at the state level.
💡 The difference between Trump's Bitcoin Reserve and the state proposal:
Federal Level: The US government has owned a large amount of Bitcoin from previous seizures, so establishing a 'Bitcoin Reserve' does not require additional budget spending.
State Level: If states want to establish a Bitcoin Reserve, they must spend money to buy new Bitcoin, leading to higher financial risks.
In fact, Senator Cynthia Lummis (R-WY) even proposed a bill requiring the federal government to purchase an additional $80 billion in Bitcoin to increase the national reserve. However, the White House has yet to make an official move to support this proposal.
⚖️ Wyoming Has Chosen Its Own Path: Prioritizing Stability, Avoiding Risks
In the context of the rapidly developing crypto market, many US states still lack a clear direction regarding the adoption of Bitcoin. Wyoming, one of the pioneering states in crypto law, has decided not to rush into a Bitcoin Reserve but to take a more cautious approach.
WYST – a stablecoin issued by the state – is seen as a strategic step, helping Wyoming to continue leading in the blockchain field while minimizing risks from Bitcoin's price volatility.
🚀 Will Wyoming succeed with the WYST stablecoin? This could be a model for other states, or it might also be a bold gamble. We will soon have an answer this summer!