Wyoming's 'Frontier' Stablecoin Debuts—Will It Offer Yield?
Wyoming has launched the Frontier Stable Token (FRNT), making it the first state-issued, dollar-pegged stablecoin in the U.S. The token is now publicly available and operates on Ethereum, Solana, Avalanche, and Ethereum layer-2 networks, with initial trading offered on Wyoming-based exchange Kraken. The FRNT token is backed by a mix of cash and U.S. Treasuries, with its reserves managed by Franklin Templeton. Unlike most private stablecoin issuers, Wyoming plans to distribute the net revenue from reserve yields to the state’s School Foundation Fund on a quarterly basis, though currently, FRNT does not offer direct yield to users—a feature under consideration. The state emphasizes strong legal protections differentiating FRNT from private stablecoins, including pushing back against federal fund seizures. Security is provided by Fireblocks, and cross-chain compatibility by LayerZero. The launch follows recent legislation and is seen as a step in merging public sector oversight with digital asset innovation, with officials highlighting both compliance and the ongoing development of yield features.
