First state government stablecoin in the US appears... Wyoming officially issues 'FRNT' linked to the dollar

Source: TokenPost Original Title: First State-Backed Stablecoin in the US… Wyoming Officially Launches ‘FRNT’ Linked to the Dollar Original Link:

First State-Backed Stablecoin in the US…‘FRNT’ Officially Launched

Wyoming, a state in the United States, has officially launched a new stablecoin ‘FRNT’ that is 1:1 linked to the US dollar(USD). This marks the first case of a US state government issuing its own stablecoin.

FRNT is currently distributed on the Solana(SOL) blockchain through specific exchanges and on the Avalanche(AVAX) blockchain via certain payment platforms. The token is issued by the ‘Stable Token Committee’ under the Wyoming state government, aiming to expand public trust in digital assets.

Managed by Franklin Templeton… Strengthening Legal Trust and Transparency

Unlike traditional privately issued stablecoins, FRNT’s asset backing structure is transparently designed. The Wyoming state government holds the collateral for FRNT in a trust, with all assets limited to US dollars and short-term government bonds.

Asset management is handled by the global investment firm Franklin Templeton(Franklin Templeton), with custody provided by its affiliate Fiduciary Trust Company International(Fiduciary Trust Company International). Franklin Templeton is a leading US asset management company managing approximately $1.6 trillion in assets.

The CEO of Franklin Templeton stated, “Public and private sectors are collaborating to implement a legitimate and trustworthy digital asset framework, accelerating the future financial system.”

The US Digital Transformation Trend Seen Through Policy Experiments

Wyoming’s governor emphasized, “The issuance of the first state-backed stablecoin in the US demonstrates that technological and transparent regulatory innovations can expand financial access and restore trust.”

This is interpreted as a symbolic case of stablecoin issuance expanding beyond the private sector into the public sector. The movement of public institutions to integrate blockchain technology into the current financial system is becoming increasingly evident.

Currently, the stablecoin market has grown by over $100 billion, reaching a total of $309 billion. While Tether(USDT) and USD Coin(USDC) hold major market shares, the emergence of FRNT could signal a shift in the market landscape.

Remaining Questions… Between Decentralization and State Control

Some express concerns that public-led stablecoins like FRNT could undermine the original purpose of decentralized technology. There are ongoing debates about increased government intervention and privacy infringements.

Industry experts warn, “If the government takes this case as a trigger to promote a national digital dollar(CBDC), we might see the emergence of a more surveillance-oriented version of the coin.”

However, there is also hope that stablecoins designed with clear legal backing and institutional trust can reduce negative perceptions and contribute to mainstream adoption.