In a groundbreaking move, the U.S. state of Wyoming has officially entered the stablecoin race. The state announced it will launch WTST (Wyoming Stable Token), the first state-issued stablecoin in the United States backed by U.S. Treasury bonds. The initiative reflects a bold step by a local government to bridge traditional finance and blockchain infrastructure, signaling a new era of government-backed digital assets.

The Bank for International Settlements (BIS) warns that stablecoins pose systemic risks and fail to meet monetary principles. Here’s what global investors and regulators need to know.