The rush for stablecoins is on. Supposedly the government is having trouble selling bonds, and there are a lot coming up to be redeemed and resold leading to the conundrum of Trump wanting lower interest rates, but higher interest rates being needed to incentivize sales. So the stablecoin gambit helps sell the excessive US debt while attacking the European SWIFT wire transfer system and their excessive fees. It may be a good way for international businesses to transact across borders, but nothing to replace cryptocurrencies for normal users looking for an alternative to fiat currency, which is purposely devalued by the private federal reserve banks and the overspending federal government. And I’ll highlight a total lack of privacy via the quoted comment below.
In the coming days, FRNT will be available for purchase on Solana via Kraken and on Avalanche via Rain’s Visa-integrated card platform. The commission previously tapped Inca Digital to provide surveillance and analytics services for the stablecoin.
By Daniel Kuhn
Quick Take
- After years of research, the Wyoming Stable Token Commission has unveiled the mainnet launch of its first official state-backed stablecoin.
- The Frontier Stable Token (FRNT) will go live on seven blockchains — Arbitrum, Avalanche, Base, Ethereum, Optimism, Polygon, and Solana — and is designed for retail and enterprise use.
After years of research, the Wyoming Stable Token Commission has unveiled the mainnet launch of its first official state-backed stablecoin. The so-called Frontier Stable Token (FRNT), marking the first time a U.S. state has issued a blockchain-based, fiat-pegged token meant to be used by retail and enterprises alike, according to an announcement on Tuesday.
“FRNT is designed to provide secure, transparent, and efficient digital transactions for individuals, businesses, and institutions — worldwide,” the commission wrote in a statement. “This groundbreaking initiative cements Wyoming at the forefront of digital finance and blockchain innovation.”
Indeed, the Cowboy State has long been ahead of the curve when it comes to crypto regulation, including in recognizing DAOs as legal entities, creating a framework for “crypto-banks” under the Special Purpose Depository Institutions charter, and passing the state’s Stable Token Act — all meant to draw economic activity to the region.
The move comes about one month after President Donald Trump signed the first federal stablecoin bill into law, creating a framework for issuers to operate in the country and opening the floodgates to interest from financial institutions and crypto incumbents looking to interact with the sector.
The total USD-pegged stablecoin supply sits at around $265 billion, according to The Block’s Data Dashboard.
In 2023, the Wyoming Stable Token Commission began studying the creation of a stablecoin following the passage of the Wyoming Stable Token Act, which tasked the organization with researching and developing a framework for a state-backed stablecoin.
The Frontier Stable Token is overcollateralized by cash and short-term U.S. Treasurys, holding a minimum reserve of 102% to ensure stability at Franklin Advisers. It will trade initially on seven blockchains — Arbitrum, Avalanche AVAX -0.35% , Base, Ethereum ETH -0.54% , Optimism, Polygon, and Solana SOL +0.96%
— that maintain interoperability through the LayerZero and Fireblocks communications protocols.
In the coming days, FRNT will be available for purchase on Solana via Kraken and on Avalanche via Rain’s Visa-integrated card platform. The commission previously tapped Inca Digital to provide surveillance and analytics services for the stablecoin.
In July, the commission began a pre-launch testing period using 11 blockchains, adding Aptos and Sei as candidate blockchains. The commission has also considered alternative versions of the stablecoin called Wyoming Electronic Stable Token (WEST) and Wyoming Stable Token (WYST).