northern mariana islands stablecoin

Key Points:* The Northern Mariana Islands legislature overrode the governor’s veto to launch the MUSD stablecoin.

• MUSD will be fully backed by U.S. dollars and government bonds, issued on eCash blockchain.
• This move could shape U.S. digital currency policy as competition with Wyoming intensifies. The Northern Mariana Islands (NMI) legislature voted to override Governor Arnold Palacios’ veto, approving the MUSD stablecoin’s launch on May 16. The bill passed with overwhelming support, aiming to position NMI as a digital currency pioneer.

The legislature’s decision could impact broader digital currency policy and highlights competition with Wyoming for the first U.S. government-backed stablecoin.

Potential U.S. Stablecoin Competition and eCash Details

The Northern Mariana Islands legislature made a significant move on May 16 by overriding the governor’s veto to approve the MUSD stablecoin. Marianas Rai Corporation, based in Tinian, will serve as the exclusive technology partner for this initiative. The stablecoin is fully collateralized, backed 1:1 by U.S. dollars and government bonds, and will be issued on the eCash blockchain.

Economic revitalization strategies tie the MUSD project to internet casino licensing in the NMI. If launched before July, MUSD will become the first local-government issued stablecoin in the United States. This could potentially set a precedent, influencing other jurisdictions to explore government-backed digital currencies.

Reactions have been mixed, with analysts suggesting that the stablecoin could impact future digital currency legislation across the U.S., though challenges remain in technical execution. Technical compliance issues are expected to be scrutinized, with federal oversight likely emerging as a significant factor.

Historical Context, Price Data, and Expert Analysis

Did you know? The MUSD stablecoin aims to position the Northern Mariana Islands as a leader in digital currency innovation in the U.S.

eCash (XEC) is the blockchain platform chosen for MUSD, with its current price at $0.00 and a market cap of $462.69 million as of May 18, according to CoinMarketCap. The trading volume over the past 24 hours was $18.44 million, showing a change of -19.98%. Notably, the price increased by 3.05% in the past 24 hours but fell 5.56% over the week.

eCash(XEC), daily chart, screenshot on CoinMarketCap at 14:50 UTC on May 18, 2025. Source: CoinMarketCap The Coincu research team indicates this legislation could encourage other U.S. territories to consider similar financial innovations. However, regulatory compliance and technical execution issues need addressing for successful implementation. The potential competition between NMI and Wyoming marks a pivotal moment in U.S. stablecoin initiatives.