Stable Mint United States Dollar (USDSM) is an e-money token denominated in United States dollars, issued by Stable Mint Ltd. This issuer is an electronic money institution that is authorised and supervised by the Malta Financial Services Authority (MFSA). Structured as an e-money token under the Markets in Crypto-Assets Regulation (MiCA), USDSM aims to maintain a stable value through a 1:1 peg to the US dollar. Every USDSM token is backed by reserves of cash and high-quality liquid USD-denominated assets held with regulated financial institutions. These reserves are kept separate from the issuer’s own funds and are managed according to MiCA requirements for safeguarding, liquidity, and risk management.

Stable Mint Ltd handles the issuance and redemption of USDSM via its regulated platform. Eligible users can mint tokens by transferring fiat USD to Stable Mint’s client accounts, after which they receive the equivalent amount of USDSM on supported blockchains. To redeem, users send tokens back to Stable Mint, where the tokens are burned and the corresponding fiat USD is paid out to the user’s designated bank account. This process is designed to align the on-chain supply with reserves and support redemptions at par value, provided that required onboarding and compliance checks are completed.

Technically, USDSM operates as a token on the Etherlink EVM chain. Smart contracts operated by Stable Mint govern the token’s lifecycle, including minting, burning, and certain administrative controls. Access to privileged functions is limited to an administrator wallet protected by multi-party computation (MPC) to mitigate single-key risk. Stable Mint employs on-chain analytics and risk-screening tools for monitoring transactions and wallets, applying policies for sanctions screening, anti-money laundering (AML), and counter-terrorist financing (CTF) in accordance with its regulatory obligations.

The main intended use for USDSM is in business-to-business payment flows, exchanges, and platforms needing regulated USD liquidity on-chain. Institutional clients may use USDSM to transfer value between traditional bank accounts and blockchain networks, facilitating exchange settlement, treasury operations, and cross-border payouts while keeping the legal characteristics of e-money. Natural persons who have completed the necessary onboarding with Stable Mint may also hold and redeem tokens. By merging a regulated e-money framework with public blockchain infrastructure, USDSM aims to serve as a bridge between traditional payment systems and digital asset markets.

Stable Mint Ltd is a specialised issuer focused on issuing and redeeming fiat-denominated e-money tokens, such as USDSM and a euro-denominated token, along with ancillary payment services supporting these activities. The company must maintain own funds, adhere to governance and reporting standards, and provide transparency regarding tokens in circulation as well as the value and composition of reserve assets. Within this structure, USDSM aims to offer a transparent, regulated, and interoperable USD stable asset for institutions and platforms active in both traditional finance and digital asset ecosystems.