World Liberty Financial Soft Launches USD1, a U.S.-Backed Stablecoin

World Liberty Financial Inc. (WLFI) has quietly launched its USD1 stablecoin without the usual fanfare or official announcement, yet the token is already making waves in the crypto space. Now trading on both Ethereum and Binance Smart Chain, USD1 has seen its 24-hour trading volume soar by over 6,700%, reaching more than $140 million, while its market cap sits at approximately $128 million, according to CoinMarketCap.

The launch appears to have been a soft rollout, with blockchain activity first noticed on March 24, when analysts observed smart contract deployments on Binance Smart Chain. Interactions with wallets connected to major market maker Wintermute hinted at deeper strategic planning behind the scenes. Although WLFI confirmed its intent to launch the stablecoin on March 25, no specific date or exchange listings were disclosed.

It wasn’t until around April 12 that the stablecoin officially went live, as liquidity pools involving USD1 were deployed on Uniswap V3 and PancakeSwap V3. Despite no centralized exchange listings yet, the stablecoin has gained traction quickly, and its logo is now visible on CoinMarketCap and Binance.

Political and Regulatory Questions Emerge

The launch has raised eyebrows in Washington due to alleged political ties. USD1 is backed by U.S. Treasuries, cash, and cash equivalents, with BitGo as its custodian. This gives the token credibility in terms of reserves—but it has also triggered concerns over Donald Trump’s involvement.

During a recent House Financial Services Committee hearing on stablecoin regulation, Rep. Maxine Waters warned of Trump’s potential plans to promote USD1 as a governmental currency replacement. She suggested he may intend to push for federal agencies—ranging from HUD to Social Security—to use stablecoins for disbursements and payments.

“Trump likely wants the entire government to use stablecoins… And which coin do you think Trump would replace the dollar with? His own, of course,” Waters remarked.

Others in the crypto space share her skepticism. Mateusz Kara, CEO of Ari10, expressed doubt that Trump is truly embracing blockchain innovation. Instead, he believes this is a strategic move to globalize U.S. debt through a digital channel.

“The real purpose of strengthening the stablecoin market is to make the world a new, receptive market for U.S. bonds,” Kara said.

What’s Next?

The quiet rollout of USD1, coupled with its immediate liquidity and growing market cap, signals WLFI’s intent to test the waters before scaling up. With no centralized listings yet and political scrutiny intensifying, much remains to be seen—particularly if USD1 becomes entangled in the broader debate over the digitization of the dollar and the future role of stablecoins in public finance.