Wyoming adds Chainlink reserve verification to state-issued FRNT stablecoin
Wyoming integrates Chainlink for FRNT stablecoin reserves
The US state of Wyoming has added near-real-time onchain reserve verification to its state-issued stablecoin, FRNT, using Chainlink’s Proof of Reserve system. A stablecoin is a type of cryptocurrency designed to hold a steady value, often backed by assets like cash or government bonds.
The Wyoming Stable Token Commission announced the move on Wednesday, stating that the system combines independent checks by The Network Firm with Chainlink’s technology to publish verified reserve and token supply data almost instantly.
How the system works
Wyoming already provides daily reserve reports for FRNT, and the GENIUS Act requires monthly disclosures of reserve details and outstanding token supply. The new integration aims to offer more frequent updates on changes in FRNT’s backing between these reports.
The commission is also working to adopt Chainlink’s Secure Mint feature, which would ensure that new FRNT tokens can only be created if verified reserves match or exceed the total supply.
FRNT, launched in January, is backed by US dollars and short-term US Treasury bonds. Interest earned from its reserves supports Wyoming’s School Foundation Program.
Recent Chainlink developments
This update follows Wyoming’s recent switch of FRNT from LayerZero to Chainlink’s Cross-Chain Interoperability Protocol (CCIP), making CCIP the token’s sole cross-chain infrastructure.
Chainlink has also expanded its role in traditional and tokenized financial markets. Recent integrations include providing pricing data for Coinbase’s tokenized equities on Base, participating in Project Pangea for stablecoin-based foreign exchange settlement, and supporting the DTCC’s planned 24/7 tokenized collateral platform. Fidelity International also launched a tokenized liquidity fund using Chainlink’s infrastructure.
What is confirmed
- Wyoming’s FRNT stablecoin now uses Chainlink Proof of Reserve for near-real-time onchain verification of reserves and supply.
- The system combines independent audits with Chainlink’s technology.
- FRNT is backed by US dollars and short-term US Treasurys, with interest funding Wyoming’s School Foundation Program.
- Wyoming migrated FRNT to Chainlink’s CCIP, replacing LayerZero.
- Chainlink has recent integrations with Coinbase, DTCC, and Fidelity International.
