The team behind World Liberty Financial (WLFI), backed by Donald Trump and his sons, started quietly testing their new stablecoin, USD1, on BNB Chain. At first glance, this might look like just another crypto release. But after looking into how it’s being tested and what WLFI is actually planning, it feels like this might be more than just stable value and blockchain transfers.
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A Stablecoin With a Bigger Purpose
USD1 isn’t being thrown into the market like TRUMP and MELANIA memecoins. On-chain data shows it was quietly deployed nearly three weeks ago, long before any official statements were made. It’s live on Ethereum and BNB Chain, and test transfers have already taken place.
Moreover, one of the wallets testing USD1 belongs to Wintermute, a major crypto market maker. That detail alone suggests the testing isn’t just internal – and that WLFI may be getting ready for something much bigger.
Big Plans in the Background?
Zak Folkman, the WFLI co-founder, teased “big announcements” coming soon during a recent conversation with Chainlink’s co-founder Sergey Nazarov, He didn’t say much about USD1 directly, but he did reveal that the team has three core products in development.
Two of them are already finished: a lending and borrowing platform, and a protocol built for real-world assets (RWAs). The third remains undisclosed. It’s not clear yet whether USD1 is tied directly to any of them, but it would make sense for a dollar-backed token to be part of those systems – especially if WLFI is targeting institutions.
Beware of the Scams
WLFI has acknowledged the stablecoin in a short post, confirming that USD1 is real – but it’s still in the testing phase. They haven’t explained what the token’s exact purpose will be or when an official release might happen.
However, they did issue a clear warning: USD1 is not tradable yet, and any tokens claiming otherwise are likely scams or impersonations.
What’s Next?
There’s still a lot we don’t know about USD1 – how it will be used, when it will launch, or whether it’s tied directly to WLFI’s upcoming products. But the way it’s being tested, the partners involved, and the caution around scams all suggest this isn’t just a throwaway token.
WLFI is taking a different approach than many politically linked crypto projects. There’s no hype campaign or memecoin marketing – just quiet development, slow rollout, and some pretty serious names quietly getting involved. Whether or not USD1 becomes a major part of WLFI’s DeFi plans, it already feels like something bigger than a publicity stunt.
Update: WLFI Confirms Institutional Focus for USD1
Following initial speculation, WLFI has now officially confirmed that USD1 is being designed as an institutional-grade stablecoin. In a new statement, the company said the token will be redeemable 1:1 for US dollars and backed by short-term US treasuries, cash, and dollar deposits – with regular audits conducted by an independent accounting firm.
Read also: Tether Is Preparing First Full Audits For USDT Transparency
The token will launch first on Ethereum and BNB Chain, with plans to expand to other blockchains over time. WLFI co-founder Zach Witkoff described the goal as combining DeFi accessibility with the trust and structure of traditional finance. Custody and reserve management will be handled by BitGo — one of the most established digital asset custodians – with BitGo Prime also providing liquidity and trading support for institutional users.
The company also emphasized that USD1 will avoid complex, yield-generating schemes used by other stablecoins. Instead, it aims for stability and clarity, in order to meet the expectations of regulated institutions and sovereign users.
Read also: Lessons from Donald Trump Memecoin’s Rise and Fall
