Wyoming has launched the Frontier Stable Token (FRNT), becoming the first U.S. state to issue a fully state-backed stablecoin, Governor Mark Gordon announced Wednesday. The token is fiat-backed and fully reserved, issued by a public entity and designed to provide a low-cost, fast, and transparent payment rail for residents, businesses, institutions — and other governments. Key details - Availability: FRNT is live to the public on Kraken (the Wyoming-recognized Special Purpose Depository Institution). - Blockchains: Purchases are available on Solana (SOL); FRNT can be bridged across additional chains including Arbitrum (ARB), Avalanche (AVAX), Base, Ethereum (ETH), Optimism (OP) and Polygon using the Stargate bridge. - Backing and yield: FRNT is backed 1:1 by U.S. dollars and short-duration U.S. Treasuries. Those Treasuries generate interest income for the state, and Wyoming says the program will act as a buyer of Treasuries at a time when some foreign holders are reducing reserves. - Custody and asset management: Assets backing the token are managed by Franklin Templeton, with Fiduciary Trust Company International serving as custodian. Franklin Templeton CEO Jenny Johnson praised the public–private collaboration as a model for compliant digital-asset frameworks. - Infrastructure: Cross-chain interoperability uses LayerZero, while Fireblocks provides secure custody and blockchain infrastructure. Why Wyoming is pushing FRNT Governor Gordon framed FRNT as an efficiency and revenue tool: “Today, our embrace of digital assets further demonstrates the strength of our enterprise and provides our citizens, businesses, and the nation with a cheaper, faster, and more transparent means of transacting… FRNT opens another funding avenue for our schools and can help alleviate the tax burden on our residents.” Executive Director Anthony Apollo said the state plans to scale the program through 2026 and highlighted the token’s potential to boost government efficiency as circulation grows. Pilot results and local reactions The commission’s pilot reportedly showed that FRNT can streamline vendor payments and vendor engagement while preserving regulatory approvals and compliance. Local officials, such as Converse County Treasurer Joel Schell, say stable tokens like FRNT could return dollars to constituents by improving payment efficiency. Who it’s for Although issued by Wyoming, FRNT is not restricted to state residents. The rollout targets retail investors, institutions, and other governments seeking instant settlement and low transaction costs. What to watch - Adoption and on-chain activity across the supported blockchains. - How much Treasury exposure Wyoming accumulates and how that interacts with broader Treasury market dynamics. - Regulatory and operational responses from other states, federal regulators, and market participants as the program scales. The launch marks a notable experiment in public-sector digital currency issuance, blending traditional treasury management with modern blockchain rails and private-sector infrastructure. Read more AI-generated news on: undefined/news

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