Recently, there’s an interesting development in the crypto world — Wyoming has launched the first stablecoin in U.S. history directly endorsed by a state government, called FRNT. This token is already live within the Polygon ecosystem, and the underlying concept is quite different.

First, let’s clarify what FRNT actually is. Simply put, it’s the first stablecoin issued by an official state government entity in the United States. The issuer is the Wyoming Stablecoin Committee established by the state government. The value of this coin is fully backed by cash and ultra-short-term U.S. Treasury securities held in trust by the state government, meaning each FRNT is collateralized by a sufficient amount of high-quality, low-risk assets.

The project’s most eye-catching features are its three main characteristics.

**The first feature is quite "political."** What does sovereign credit endorsement mean? Since the issuer is the state government itself, this bypasses the federal regulatory framework of the U.S. Securities and Exchange Commission (SEC). In other words, FRNT cleverly leverages existing legal definitions, placing it largely outside the direct jurisdiction of federal agencies like the SEC. This opens a new approach — state-level sovereign digital assets. It’s a bit like everyone waiting for national-level action, but the state government took the lead first.

**The second feature relates to "public good."** FRNT is not a commercial product of any company and has no profit motive. The interest income generated by the assets it holds is legally mandated to be entirely directed to Wyoming’s public education fund, directly supporting education within the state. It’s also designed to handle routine government payments, such as disbursing funds to businesses.

**The third feature is "technological flexibility."** FRNT is deployed not only on Polygon but also on other major blockchains like Ethereum and Solana, with cross-chain interoperability achieved. Its use cases are quite clear: first, in partnership with Visa, supporting global everyday transactions; second, as a payment tool for paying state taxes or receiving refunds from the state government, reducing processes that used to take weeks down to seconds.

In this light, FRNT is fundamentally different from common market stablecoins like USDC (issued by Circle) and USDT (issued by Tether). Those are stablecoins created by private companies based on commercial credit, backed by the reputation and operational capacity of the companies. FRNT, on the other hand, is essentially a piece of public infrastructure, backed by the credibility and financial management capabilities of the Wyoming state government, falling into the category of true sovereign credit. The difference is significant.