Bringing Digital Dollars to Local Banks
Stablecoins are digital assets pegged to a traditional currency, typically the U.S. dollar. They combine the stability of cash with the speed and transparency of blockchain transactions. Roughrider Coin will be fully backed by USD, ensuring that each token can be redeemed for a dollar. This backing provides stability and trust, which is crucial for financial institutions.
The Bank of North Dakota has always been an innovator, and today we announced a partnership with Fiserv to develop ND’s own stablecoin, the Roughrider coin. This digital asset, backed by the U.S. dollar, will improve efficiency and quality control in the banking sector, a direct… pic.twitter.com/1yIB9A3Zr9
— Governor Kelly Armstrong (@GovArmstrong) October 8, 2025
For North Dakota banks, Roughrider Coin could streamline lending and liquidity management. Interbank loans and overnight lending often require complex settlement processes that can take hours or even days. By using a blockchain-based stablecoin, these transactions could settle almost instantly, reducing operational costs and increasing transparency.
For example, in New York, several banks have already begun using blockchain solutions for interbank settlements, demonstrating how digital dollars can speed up financial operations while reducing risk. Here is an example:
Boom! “Citi has invested in stablecoininfrastructure company @BVNKFinance, as big U.S. banks ramp up their presence in the cryptocurrency and digital asset space.” pic.twitter.com/W62S75ohGJ
— Jevgenijs Kazanins (@jevgenijs) October 9, 2025
Future Plans and Broader Impact
While Roughrider Coin will start as a tool for financial institutions, there are plans to expand its use. Eventually, residents might be able to open stablecoin deposit accounts, providing a digital dollar option for everyday banking. This reflects a recent trend where U.S. states and municipalities explore digital currencies to improve financial inclusion and efficiency. According to a 2025 report from the Federal Reserve, interest in digital dollar projects has surged, with over a dozen pilot programs now underway across the country.
Roughrider Coin also aligns with broader movements in decentralized finance, where stablecoins play a critical role in trading, lending, and payments. By starting at the institutional level, North Dakota can ensure that the system is robust and secure before opening it to the public.