USDM1 now Available on Anchorage Digital, Expanding Institutional Access to Natively-Issued, Treasury-Backed Sovereign Collateral

NEW YORK, April 23, 2026 /PRNewswire/ -- Anchorage Digital, home to America's first federally regulated crypto bank, announced that USDM1, a U.S. dollar-denominated sovereign debt instrument natively issued on the blockchain by a sovereign, collateralized 1:1 by U.S. Treasury instruments, is now available on its federally regulated custody platform. For the first time, institutional clients can access, hold, and seamlessly integrate a sovereign, Treasury-backed financial instrument into 24/7 margin, collateral, and financing workflows.

As an infrastructure partner, Anchorage Digital will provide settlement, control-account, custody, and collateral management support for USDM1, enabling institutional access within established regulatory frameworks. 

USDM1 is not a tokenized or wrapped instrument, instead each unit represents secured sovereign debt issued under New York law, structured in the style of a Brady bond, providing holders with claims secured by a fully established security interest in the underlying collateral. USDM1 is compatible with derivatives, repo and financing markets and enables deployment as sovereign collateral in institutional trading and financing workflows. On Anchorage's federally regulated platform, USDM1 provides a bankruptcy-remote, collateralized sovereign exposure with 24/7 programmable settlement, benefiting from robust U.S. close-out netting protections.

Nathan McCauley, Co-Founder and CEO at Anchorage Digital said: "Institutions need digital assets that fit within existing legal and operational frameworks, not outside them. USDM1 is a compelling example of how sovereign, Treasury-backed instruments can be issued for the digital era, and we're proud to provide the regulated custody, settlement, and collateral infrastructure that makes institutional adoption possible."

USDM1 was developed to support the Republic of the Marshall Islands' Universal Basic Income (UBI) program, serving as a financial instrument underpinning its digital implementation.

Hon. David Paul, Republic of the Marshall Islands' Minister of Finance, said: "USDM1 represents a new foundation for how we can deliver financial services to our people. Reaching every citizen across our remote atolls has always been one of our greatest challenges as a government, and USDM1 changes that. With modern digital infrastructure built on trusted legal frameworks, we can now ensure every citizen receives what they are entitled to, wherever they live. We are proud to be leading the way in showing what sovereign financial inclusion can look like."

Beyond its role in domestic disbursements, USDM1 supports a full range of institutional functions associated with fully collateralized sovereign debt, with issuance, collateral and redemption under New York law. USDM1 is compatible with standard derivatives, repo, and securities lending frameworks, offering institutions a sovereign, Treasury-backed alternative to corporate digital dollar instruments via Anchorage Digital's regulated, federally licensed platform. 

About Anchorage Digital

Anchorage Digital is a global crypto platform that enables institutions to participate in digital assets through trading, staking, custody, governance, settlement, stablecoin issuance, and the industry's leading security infrastructure. Home to Anchorage Digital Bank N.A., the first federally chartered crypto bank in the U.S., Anchorage Digital also serves institutions through Anchorage Digital Singapore, which is licensed by the Monetary Authority of Singapore; Anchorage Digital NY, which holds a BitLicense from the New York Department of Financial Services; and self-custody wallet Porto by Anchorage Digital. Anchorage Digital Bank also offers fiat custody services through the use of an FDIC-insured, licensed sub-custodian. Anchorage Digital is funded by leading institutions including Andreessen Horowitz, GIC, Goldman Sachs, KKR, and Visa, with a valuation of $4.2 billion. Founded in 2017 in San Francisco, California, Anchorage Digital has offices in New York, New York; Porto, Portugal; Singapore; and Sioux Falls, South Dakota. Learn more at anchorage.com, on X @Anchorage, and on LinkedIn.

About USDM1:

USDM1 is USD-denominated sovereign debt issued natively on-chain by the Republic of the Marshall Islands, secured 1:1 by short-duration U.S. Treasury instruments held in bankruptcy remote custody. The RMI operates exclusively on the U.S. dollar standard under its Compact of Free Association with the United States, which establishes the dollar as its sole legal tender. For more, see the government's white-paper "Financial Access and the Path to USDM1."

USDM1 is structured in the style of a fully collateralized Brady bond under New York law, with an explicit customary waiver of sovereign immunity. USDM1 provides holders with claims secured by a perfected first-priority security interest in collateral. Unlike privately issued digital dollar instruments, USDM1 is structured as sovereign debt with collateral perfected under the UCC by control, enabling compatibility with ISDA netting frameworks and supporting inclusion in ISDA netting sets. As institutional-grade collateral, USDM1 supports integration in institutional margin, repo and financing workflows and operates within existing legal, accounting, and capital frameworks, improving capital efficiency and balance sheet treatment.

Cleary Gottlieb serves as issuer's counsel and advised with respect to the structuring of the instrument under New York law with the participation of partners specializing in sovereign debt, UCC and secured transactions, creditors' rights, netting and digital asset market infrastructure.

USDM1's structure has been developed with legal analysis from Cleary Gottlieb Steen and Hamilton LLP and accounting analysis prepared by Anderson. The statements herein regarding the legal and/or accounting aspects of the product are provided by these advisors and the issuer and have not been verified by Anchorage Digital.

The content of this communication is for informational purposes only and is not intended to market, offer, or solicit you to buy or sell any financial product directly from us or otherwise.

The Republic of the Marshall Islands has not registered any offering of USDM1 under the U.S. Securities Act, or any other U.S. federal and state securities laws. Accordingly, USDM1 may not be offered, sold, pledged or otherwise transferred in the United States or to U.S. investors, unless they are registered, or exempt from, or not subject to, registration under the U.S. Securities Act. Likewise, nothing in this communication should be construed as, or constitutes, a recommendation, by us or any third party, to acquire or dispose of any investment or security, or to engage in any investment strategy or transaction. You are solely responsible for determining whether any investment, security or strategy, or any other product or service, is appropriate or suitable for you based on your investment objectives and personal and financial situation. You should consult an attorney or tax professional regarding your specific legal or tax situation.

This communication may contain forward-looking statements. These statements are statements that are not historical facts. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions are intended to identify forward-looking statements. Statements regarding trends relating to the Republic of the Marshall Islands or USM1, and future expansions or projects relating to Republic of the Marshall Islands or USM1 are examples of forward-looking statements. Such statements reflect the current views of the Republic of the Marshall Islands and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations. USDM1 is secured on a 1:1 basis. Small amounts of collateral may be kept as U.S. Government money market funds, stablecoins or other digital assets as a liquidity reserve to process redemption requests. Collateral may be subject to customary limited liens in favor of the custodian.

The statements herein regarding the legal and/or accounting aspects of the product are provided by M1X and have not been verified by Anchorage Digital.

Media Contact: Kishan Naran - kishan.naran@wachsman.com