World Liberty Financial, a crypto project backed by President Donald Trump, has announced plans to launch a stablecoin pegged 1:1 with the US dollar. The move signals his administration's growing support for digital tokens, which play a crucial role in crypto transactions.
The stablecoin, named USD1, will be fully backed by short-term US Treasuries, dollar deposits, and other cash equivalents, the company stated on Tuesday. BitGo Inc. will serve as custodian, and the tokens will be minted on Ethereum and Binance Smart Chain. No release timeline has been disclosed.
“USD1 provides what algorithmic and anonymous crypto projects cannot — access to the power of DeFi underpinned by the credibility and safeguards of the most respected names in traditional finance,” said Zach Witkoff, co-founder of World Liberty Financial.
He emphasized that USD1 aims to offer sovereign investors and major institutions a stable, secure cross-border transaction tool.
Earlier this month, World Liberty was reportedly in discussions with Binance Holdings Ltd., according to Bloomberg News. However, Binance founder Changpeng Zhao (CZ)—who pleaded guilty in 2023 to anti-money laundering violations—later denied having any business ties with World Liberty.
Binance has declined to comment on the matter, and World Liberty representatives did not respond to further inquiries.
The Trump administration and Congress have been actively working to strengthen stablecoins’ role in the financial system, signaling their increasing importance in global transactions.
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