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I think it's likely you are talking about two completely different things which happen to have part of a name in common.
The "moly extreme" you mention is likely molybdenum disulfide powder, which is applied loose to bullets and bores mostly in benchrest or other high precision shooting. Some swear by the practice others swear at it. It's not something most everyday shooters need to worry about.
"Chrome moly" is just a shorthand description of a type of steel alloy, which is what most rifle barrels are made from. Not to be confused with "chrome lined" which is a thin layer of chrome electroplated onto the bore of the barrel.
Yes I think this pretty much answers my questions about it. The stuff I'm talking about is Moly FUSION from the Shooter Solutions web site. They advertise this stuff you can buy to put down your barrel to make it virtually friction resistant. They go into trying to explain what it does through a bunch of scientific chemical jargon that is enough to convince me not to even consider trying it. I'm not sure if this stuff is widely used but I can tell you their many warnings and disclaimers should pretty much scare anyone away from putting it down their barrels.
Here is a link http://www.shootersolutions.com/index.html
That's not loose powder but sounds like some kind of surface chemical treatment to adhere molybdenum disulfide to the surface. Not impressed with that webpage at all.
As a self confessed "noob", I'll offer the advice that you're making a mountain out of a molehill. Most of this kind of stuff (like that moly treatment) is only useful for a small number of people in precision shooting disciplines, not the everyday shooter.
If you're looking to get into precision shooting, whether competitively or not, you have a lot of stuff to learn and practice that's way more important than that first. If you're interested in general shooting at a range, hunting, personal defense, etc, don't worry about it either.
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Related Question: what makes for a more accurate barrel: standard Chrome Moly or Stainless Steel? I'm going to be buying a new upper soon for a Coyote/predator gun and need to decide on the barrel steel. I know SS has improved corrosion resistance but what else? Does it machine to better tolerance also?
Traditionally, stainless was the choice for most high-precision barrels because of its characteristics of being a softer steel which was easy to machine to precise dimensions with a very smooth finish. Traditional stainless alloys though are not very heat resistant or as strong, so are usually limited to heavier profiles or else risk drastic reduction in barrel life.
Cutting tools and technology has advanced somewhat to where today a barrel of a much stronger and more heat resistant steel like the chrome moly or chrome moly vanadium alloys can be made to virtually the same level of precision.
Traditionally, non-stainless steel barrels had the disadvantage of either being subject to corrosion without careful attention, or lined with chrome or other material to protect against corrosion which would tend to degrade accuracy for precision barrels. Gaining in popularity nowadays is the use of nitrocarburizing (aka nitride) treatments for CM/CMV steels which do not change the surface dimensions as chrome lining does, yet provides a hard, wear and corrosion resistant surface.