Wyoming Launches First State-Issued Stablecoin, Frontier Token (FRNT)

Wyoming has become the first U.S. state to launch a blockchain-based stablecoin. The Frontier Stable Token (FRNT) went live this week across seven networks, marking a major experiment in public-sector digital money.

Historic First for a U.S. State

FRNT is the first fiat-backed, fully reserved stablecoin issued by a state government. It is pegged one-to-one with the U.S. dollar and backed by a mix of cash and short-term U.S. Treasuries. Wyoming law requires the token to hold 2% overcollateralization, a safeguard that aims to make the coin more resilient than privately issued stablecoins.

The Wyoming Stable Token Commission, created in 2023 under the Wyoming Stable Token Act, is running the project. The commission operates with a $5.8 million state budget and reports directly to Governor Mark Gordon.

“This launch reflects nearly a decade of work on digital asset laws in Wyoming,” Gordon said during the announcement in Cheyenne on Aug. 19.

Available Across Seven Blockchains

FRNT launched simultaneously on Ethereum, Solana, Arbitrum, Avalanche, Polygon, Optimism, and Base. LayerZero Labs supported the issuance process, Fireblocks provided custody infrastructure, Franklin Advisers manages reserves, and The Network Firm is tasked with monthly audits.

The state says the multi-chain rollout is designed to maximize accessibility and interoperability from day one.

Where Users Can Access FRNT

The stablecoin is not yet open for public purchase, but distribution will begin in the coming days. Kraken, which operates a Wyoming-domiciled entity, will list FRNT on Solana. Rain, a payment platform with a Visa integration, will also support FRNT transactions on Avalanche.

Revenue Model and Public Purpose

Unlike corporate stablecoins, Wyoming will not keep the yield from assets backing FRNT. Instead, interest generated from reserves will flow into the Wyoming School Foundation Program, which supports education funding.

Anthony Apollo, executive director of the Stable Token Commission, said the goal is to create “a self-sustaining financial tool” that benefits the state while offering citizens low-cost digital payments.

National Context

The launch comes weeks after President Donald Trump signed the GENIUS Act, a new federal framework for stablecoins. FRNT, however, sits outside the law because it is issued by a public entity rather than a private company. That distinction could give Wyoming more flexibility, though it also raises new legal questions.

The move also arrives three years after the collapse of Terra’s $40 billion ecosystem, an event that continues to shape regulatory debates around stablecoins. Wyoming officials argue FRNT’s structure, fully backed, overcollateralized, and audited—shows that government-backed models can offer stability where private issuers have faltered.

Regulatory Focus	Key State Examples	Notes
Crypto Reserve Funds	New Hampshire, Utah, Texas (proposed)	Allow investment of public funds in Bitcoin/digital assets
Licensing & Kiosk Rules	Arizona, Maryland, North Dakota	Expanded money transmitter laws, oversight of crypto ATMs
Legal Definitions & Tax	Arkansas, Oregon, South Dakota, Nebraska	Clarification on property/tax treatment and exclusion of CBDCs
Consumer Protections	Illinois, Rhode Island, Vermont, Nebraska, Arizona	Regulations to prevent fraud at crypto ATMs, refunds, transparency
Innovation-Friendly	Wyoming	Legal DAO recognition, crypto banks, stable token legislation
Anti-CBDC Legislation	Montana, Florida	Prohibit state adoption of central bank digital currencies