Wyoming Launches First State-Issued Stablecoin in the U.S

Wyoming has officially rolled out the Frontier Stable Token (FRNT), becoming the first U.S. state to issue a government-backed stablecoin designed to bring digital payments into mainstream use. Governor Mark Gordon, also the chair of the Wyoming Stable Token Commission, said the project will benefit both individuals and businesses. “This launch gives our citizens a modern, efficient, and secure way to transact,” he noted, calling it a milestone in Wyoming’s journey to embrace financial technology. Fully Reserved and Over-Collateralized Unlike many privately issued stablecoins, FRNT has been designed to be fully reserved. Its backing consists of U.S. dollars and short-term U.S. treasuries, both of which are held in trust. To enhance confidence, it is structured to be 2% over-collateralized, ensuring that its assets always exceed the number of tokens in circulation. Blockchain data on the project’s website shows that FRNT is already live across several major networks, including Ethereum, Solana, Avalanche, Polygon, Optimism, Arbitrum, and Base. This wide deployment is intended to ensure interoperability and easy adoption across the digital economy. Public Access Coming Soon Although the token has already been deployed, public access will begin in the coming days. Wyoming officials confirmed that FRNT will be made available on Solana through the U.S.-based exchange Kraken. It will also be supported on Avalanche via Rain’s Visa-linked card platform, making it usable for everyday payments. The announcement coincided with the Wyoming Blockchain Symposium in Jackson Hole, Wyoming. Its timing also aligned with new federal legislation. Specifically, the U.S. recently enacted the GENIUS Act to set clear rules for stablecoin issuers. Stablecoins Market on the Rise Stablecoins are digital tokens whose value is tied to traditional assets such as the U.S. Dollar. They have become a $260 billion industry and are widely used for trading, payments, and cross-border transfers. A recent report by crypto trading firm Keyrock predicts the sector could reach $1 trillion in market size within just a few years. Wyoming’s stablecoin is not only a financial experiment but also a policy statement. The state has long promoted blockchain-friendly laws and positioned itself as a hub for digital asset innovation. In 2023, it created the Stable Token Commission to oversee the development of a U.S. dollar-backed token and to ensure proper regulation. Testing Real-World Uses Ahead of the official launch, Wyoming successfully conducted a test payment to a government contractor using Avalanche-based infrastructure. The pilot was considered a proof of concept. It showed how blockchain can streamline transactions and reduce costs compared to traditional payment methods. Notably, the Frontier Stable Token is supported by several private-sector partners chosen through a competitive process. LayerZero is responsible for cross-chain token issuance, while Fireblocks manages the blockchain infrastructure and ensures security. Franklin Advisers oversees the reserves backing the token, and Inca Digital provides open-source intelligence tools to monitor activity. To guarantee accountability, The Network Firm will conduct regular audits and monthly attestations. Together, these collaborations are intended to ensure transparency, security, and compliance. In doing so, they directly address concerns that have surrounded some privately issued stablecoins in recent years. What Comes Next Wyoming’s bold step could encourage other states to consider launching their own digital assets. For now, it stands alone as the first U.S. state to back a stablecoin with public authority. The launch signals a technological shift and a broader trend toward integrating blockchain into the foundations of government finance.