President Donald Trump-backed crypto firm World Liberty Financial has raised $550 million since its October launch
The World Liberty Financial (WLFI), backed by President Donald Trump and his family, has launched a stablecoin USD1.
Tied to the US dollar, it will operate on Ethereum and Binance Smart Chain networks.
Stablecoins are cryptocurrencies that have a stable value linked to reliable assets like national currency, gold and treasury bonds. They are unlike Bitcoin or Ethereum, which can have big price swings.
The USD1 will be backed by the US government treasuries, dollar deposits, and cash equivalents, says WLFI. The company aims to provide institutional investors with a secure, regulated alternative for cross-border transactions.
Since its October launch, WLFI has raised $550 million, including $250 million in a recent token sale. It has attracted 85,000 verified participants and high-profile backers like Tron founder Justin Sun, who holds a $75 million stake.
WLFI isn’t alone
Dollar-backed stablecoin market cap has surged 46% in the past year, according to CryptoQuant. Several companies, including PayPal, Ripple, Gemini, Robinhood, and Kraken, have issued their own coins.
The Trump administration, including Treasury Secretary Scott Bessent, sees stablecoins as a way to preserve the US dollar hegemony in the world market. The GENIUS Act, seeking to provide a framework for regulating stablecoins, recently gained Senate banking committee approval with bipartisan support.
However, critics warn that such tokens lack stringent regulation and can make it easy to launder money.
