Public blockchain data indicated the launch of a new dollar-based stablecoin by a DeFi platform reportedly connected to the Trump family. Despite the absence of a public announcement, the token, named “USD1,” was observed to be active on the Ethereum and Binance blockchains.
Adding to speculation about a Trump-backed stablecoin, former Binance CEO Changpeng Zhao posted on X, issuing a warning to investors that the official USD1 token was not yet tradeable, suggesting the possible existence of scam assets bearing the same name. Although blockchain data pointed towards a connection to the Trump family through World Liberty Financial, official confirmation remained pending.
Neither Binance nor World Liberty Financial had offered commentary on the new token. Meanwhile, the cryptocurrency community had already begun to form opinions regarding the stablecoin. The report detailed that World Liberty Financial had been rapidly expanding its influence and holdings within the cryptocurrency space since its inception. The venture into the stablecoin sector was described as strategically valuable, potentially providing a substantial revenue stream for the platform.
The report emphasized the importance of stablecoins for investor activities, citing their role in providing a reliable and less volatile method for transferring and swapping cryptocurrencies. It was suggested that the alleged USD1 stablecoin, issued by WLFI, could enable the foundation to generate interest on cash reserves, fees, and through lending and partnerships.
Trump’s “Dollar Strong” Crypto Vision
The report highlighted that during the 2024 campaign, then-candidate Donald Trump had repeatedly stressed the need to leverage the U.S. dollar in the blockchain. It was conveyed that this emphasis on a “Dollar Strong” cryptocurrency aligned with Trump’s broader economic vision, particularly in the context of growing global challenges to the dollar’s dominance.
The report mentioned that during the July 2024 Bitcoin Conference in Nashville, Trump had underscored the urgency for America to take a leading role in the adoption of blockchain and Bitcoin technologies. He had warned that if the United States did not embrace crypto and Bitcoin technology, China and other countries would, potentially leading to their dominance, a scenario he deemed unacceptable.
