St. Cloud Financial Credit Union announces Cloud Dollar (CLDUSD) stablecoin planned for late 2025

St. Cloud Financial Credit Union has announced plans to launch Cloud Dollar (CLDUSD), positioning it as the first U.S. credit union-issued stablecoin. Slated for deployment in late 2025, the project enters a crowded market of institutional stablecoin issuers but aims to distinguish itself through a member-focused, cooperative approach. The initiative will serve as a pilot with potential to expand based on regulatory and operational success.

Project details and partners

Developed in collaboration with Metallicus and DaLand CUSO, the Cloud Dollar project was first reported by CoinDesk on September 10, 2025. While full technical specifications and the supporting blockchain have not yet been disclosed, the stablecoin is designed to integrate with the credit union’s internal services and refresh its product offerings. Unlike large commercial issuers like Circle or Paxos, St. Cloud aims to embed cooperative governance and member-oriented values into CLDUSD.

Regulatory context and compliance

The announcement comes amid ongoing U.S. legislative debate—including proposals like the GENIUS Act, which would establish federal standards for stablecoin issuance. For CLDUSD to succeed, it must navigate both state and federal regulations, implement strong KYC/AML protocols, ensure transparent reserve audits, and establish secure custody solutions. Regulatory compliance and verifiable backing will be essential to building trust.

Technical and operational implications

Key operational focuses include:

• Transparent and frequent reserve reporting

• Secure custody models for fiat collateral

• KYC/AML integration that balances regulation and member privacy

• Interoperability with diverse wallets and platforms beyond DeFi

These elements will be critical in ensuring both security and usability.