The Token guard 1: 1 with the dollar, backed by reserves.
The community warns that it is a CBDC through the back door.
The American state of Wyoming announced this August 19 the launch of the Frontier Stable Token (FRNT), which became the first Stablecoin issued by a state in the history of the country.
Wyoming’s stable tokens commission said it activated the Token FRNT on the main network (Mainnet), simultaneously deploying it in seven cryptocurrency networks, including arbitra, Avalanche, Base, Ethereum, Optimism, Polygon and Solana.
An official statement assures that The Token guarantees its 1: 1 parity with the dollar through cash reserves and Treasury bonds, and reinforces its stability with an overlaterization of 2% required by law.
Governor Mark Gordon defended the initiative that, according to him, consolidates Wyoming as an innovation leader.
“Today, Wyoming reaffirms its commitment to financial innovation,” said Gordon, explaining that the Token will empower citizens and companies, ciming the position of the State at the forefront of digital finances.
The distribution to the public will start in the next few days for the persistent “regulatory obstacles”, According to comments of the American journalist Eleanor Terrent. No details were provided.
Anthony Scaramucci, founder and managing partner of Skybridge Capital, applauded the initiative and ruled out that it was a Central Bank digital currency (CBDC).
However, not everyone agrees with that way of seeing the launch of the state token. An editorial article of cryptootics described the US regulation about Stablecoins, Genius Law, as a strategic political play of the Trump administration which won the applause of the community by prohibiting state CBDC.
Many celebrated the prohibition of CBDC as a victory for privacy, but, as in every good magic trick, the key is in what is not observed with the naked eye. While everyone celebrates this victory for privacy, by the back door a law is approved that makes Stablecoins exactly what it was intended to avoid.
This new law, ironically called Genius, forces Stablecoins as a Tether or Circle to become extensions of the government. They must applyr the same surveillance rules as banksreporting user movements and knowing their customers in detail. Thus, without calling it CBDC, the United States is creating a totally supervised network of digital dollars, but with a private logo to hide, the article warned.
However, there is now another branch of that strategy, if the states begin to launch their own stablecoins, they only become CBDC. The X Cajunstatham user warns that many do not perceive that the FRNT could be an indirect way towards a CBDC, promoting state stablcoins that could consolidate in a national currency.
“Americans are so illiterate, ignorant and dumb that they do not realize that you cannot simply ‘defeat’ the globalists. I saw a publication on Wyoming starting a state stable and today is defended as anti-CBDC, but no one seems to think or for a moment that is a rear door to CBDC and they will sell it as 50 states-50 stablecoins-and eventually signed by a “national ‘teacher” currency,, pointed out The community member.
Many celebrated the prohibition of CBDC as a victory for privacy, but the aforementioned cryptootic article warns that the genius law could impose strict regulations on private stablcoins, resembling them to instruments controlled by the government. Thus, without calling it CBDC, The United States would be creating a supervised digital dollar networkbut with a private logo to hide.
