Trump’s crypto venture World Liberty Financial Inc. (WLFI), a rising force in decentralized finance (DeFi), has announced the launch of its new stablecoin, USD1. This digital asset will be fully backed by US treasuries, dollar deposits, and cash equivalents, ensuring a strong foundation of stability.
USD1 is designed to maintain a 1:1 peg with the US dollar and will first be available on the Ethereum (ETH) and Binance Smart Chain (BSC) blockchains. The company also plans to expand to other networks in the future.
Unlike some stablecoins that rely on complex financial strategies to generate yield, USD1 follows a more straightforward model. By focusing solely on holding cash and highly liquid assets, WLFI aims to eliminate unnecessary risks and provide investors with a clear and secure digital dollar option.
To ensure credibility and transparency, USD1 reserves will be audited regularly by a third-party accounting firm. This approach is expected to make USD1 a reliable option for investors, institutions, and businesses looking for a stable digital asset for cross-border transactions and DeFi applications.
The launch of USD1 comes at a time when the demand for dollar-backed stablecoins is at an all-time high. According to on-chain data provider CryptoQuant, the stablecoin market has grown by more than 46% in the past year, with Tether (USDT) and Circle’s USD Coin (USDC) leading the industry.
WLFI has seen rapid growth since its inception, raising $550 million through two token sales, including a $250 million fundraising round last week. This strong financial backing suggests that USD1 has the potential to compete with established stablecoins in the market.
To further enhance security, USD1 reserves will be held by BitGo, a leading digital asset custodian known for its institutional-grade security. BitGo also offers prime brokerage services, giving institutional clients access to deep liquidity and trading opportunities.
The wider altcoin market, led by memecoins, has signaled a bullish breakout soon amid ongoing…
Coinbase has held the stance that crypto assets are not securities but instead are digital…
In a massive market like the crypto market, finding a coin to invest in can…
A new wave of promising cryptocurrencies is making waves just in time for the anticipated…
In the world of crypto, stories about life-changing returns often seem like history—early Bitcoin buyers,…
The world of online gambling is moving fast, and the rise of cryptocurrency casinos is…
