Stablecoin governance group behind OUSD sets out management fee, offers equity earning pool

OpenUSD (OUSD), the new consortium-based stablecoin introduced earlier this year by Stripe, Visa, Mastercard, Coinbase and Shopify, will charge a 0.1 basis point management fee on payment volume, capped at at $0.01 per payment, according to private documents seen by Coindesk.

The OUSD fees are paid to Open Standard, the company behind the stablecoin whose initial founding partners are Stripe, Visa, Mastercard, Coinbase and Shopify, and who have each committed $1 billion-plus in near term launch liquidity.

“Payments of $1,000 or more pay the $0.01 cap. Smaller payments pay 0.1 bp of the amount,” according to the documentation. To move $1 million, for instance, at a fee of 0.1 bp might have incurred a $10 charge, but this is capped at the $0.01 rate, the document states.

OUSD is meant to make cross-border settlement painless and reduce fiat currency conversions to near zero, according to Open Standard.

Unlike Tether’s USDT and Circle’s USDC, where the issuer keeps reserve interest, OUSD distributes that to its partners, minus the 0.1 bp or $0.01 capped management fee.

Open Standard is also offering partners a chance to earn equity in the project, based on OUSD holdings and flows, according to a document on the subject.

Each month, the OUSD platform measures the amount of the stablecoin partners hold and move about, which determines the share of the annual equity earn-in pool. Partners must have at least $50 million to qualify for the pool, and a 5% cap is the maximum ownership (all warrants earned) for any single partner, the document stated.

Alongside the management fee and earning pool documents, Visa also released over 100 pages of technical implementation and user guidance for partner firms integrating OUSD via the Visa Stablecoin Platform.