World Liberty Financial, a decentralized finance venture backed by former President Donald Trump and his family, has reportedly now launched a new stablecoin called USD1.
This digital currency will be pegged to the U.S. dollar and supported by short-term U.S. government treasuries, dollar deposits, and other cash equivalents.
Set to operate on the Ethereum and Binance Smart Chain networks, USD1 aims to provide secure cross-border transactions that traditional finance methods can rely on.
The stablecoin market has become increasingly competitive, with the total market cap for dollar-pegged stablecoins rising over 46% in the past year, according to CryptoQuant.
Established names such as Tether (USDT) and Circle’s USDC have dominated the space, prompting new entrants like World Liberty Financial to carve out a niche.
Since its launch in October, World Liberty Financial has raised $550 million through two token sales, garnering interest from over 85,000 verified participants.
High-profile investors include Tron founder Justin Sun, who increased his stake to $75 million. Entities tied to the Trump family may receive up to 75% of the venture’s net revenue.
This launch coincides with the Trump administration’s intensified focus on cryptocurrency, marked by Trump’s executive order to establish a Strategic Bitcoin Reserve.
The administration seeks to integrate stablecoins into its financial framework and maintain the U.S. dollar’s dominance as the global reserve currency.
As regulatory frameworks around stablecoins evolve, initiatives like the GENIUS Act aim to provide a regulatory structure that may encourage banks to issue their own versions of stablecoins for faster and more transparent transactions.
Cryptocurrencies are increasingly seen as an impactful element of the financial landscape, with stability and regulation being key focus areas for future growth.
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