Wyoming Stable Token Commission taps Inca Digital for state-backed WYST stablecoin money-laundering surveillance

The Wyoming Stable Token Commission has partnered with analytics provider Inca Digital on its forthcoming state-backed Wyoming Stable Token (WYST), according to an announcement on Tuesday. WYST is said to be "the first fully-reserved, fiat-backed stable token issued by a U.S. public entity."

Wyoming’s commission will issue the WYST stablecoin pursuant to the Wyoming Stable Token Act passed in March 2023. The asset will be fully backed by U.S. Treasurys, cash, and repurchase agreements. "The Commission’s goal is to enhance financial transparency and drive economic growth for the state, fortifying Wyoming’s position as a national leader in digital assets," it wrote.

Inca, founded in 2019, will provide real-time risk management solutions and other analytics services. "This collaboration will bolster the Commission’s ability to monitor and mitigate risks related to fraud, money laundering, and market anomalies, ensuring the safety and integrity of WYST for its users," the commission wrote.

"Our partnership with Inca Digital marks a critical step in our commitment to transparency, security, and innovation," Executive Director of the Wyoming Stable Token Commission Anthony Apollo said. "By leveraging Inca’s industry-leading intelligence tools, we are reinforcing our promise to deliver a trustworthy digital asset for Wyoming and beyond."

The WYST stablecoin is currently being piloted across multiple blockchain testnets, with a full public launch targeted for this summer. State authorities hope the token will enable "near-instant, dollar-denominated transactions worldwide" while offering "significantly lower fees compared to traditional financial systems."

At launch, WYST will be the first stablecoin directly issued by a government. Wyoming has made a name for itself as a digital asset sandbox, in part due to the many laws seeking to draw crypto companies and DAOs to the Cowboy State.