Crypto observers have been speculating on Monday that World Liberty Monetary (WLFI), the decentralized finance (DeFi) platform backed by U.S. President Donald Trump and his household, could be testing its long-awaited greenback stablecoin earlier than rolling out for the broader public.
Blockchain sleuths earlier in the present day famous a flurry of exercise with a token labeled as World Liberty Monetary USD (USD1) on blockchain monitoring web sites Etherscan and BscScan. Blockchain information exhibits that USD1 was deployed earlier this month on the Ethereum and BNB Chain networks and collection of transactions with the token occurring over the previous couple weeks.
Some transfers included addresses linked to Wintermute, a big digital asset buying and selling agency and market maker, and crypto custodian BitGo, in accordance with Arkham Intelligence information. The token’s provide at present stood at round 3.5 million-3.5 million on Ethereum and BNB Chain, per Etherscan and BscScan.
Changpeng CZ Zhao, founding father of crypto trade big Binance, introduced widespread consideration to the token by “welcoming” the challenge on BNB Chain in a submit with a screenshot of the USD1 BscScan profile shared along with his 10 million followers. The submit, he later stated, triggered a wave of copy-cats aiming to capitalize on the new-found consideration.
WLFI, reacting in a X submit, stated USD1 just isn’t at present accessible for buying and selling and crypto customers ought to watch out for scams.
Stablecoin buzz
WLFI, a challenge spearheaded by Zachary Folkman and Chase Herro, made a splash final yr as one of many first crypto initiatives having fun with the backing of Trump. The protocol goals to supply a blockchain-based market the place customers can borrow and lend cryptocurrencies, create liquidity swimming pools and transact with stablecoins.
It has been extensively identified that the challenge is engaged on crafting its personal stablecoin, however there hasn’t been any official communication about precise plans and timing of launching the token publicly. CoinDesk has reached out to the workforce, however hasn’t obtained any replies.
Stablecoins are one of many fastest-growing corners of the crypto business and extensively considered the killer use case for blockchains. With their costs pegged to an exterior asset, predominantly to the U.S. greenback, they’re extensively used as a crypto buying and selling pair and transactions on blockchain rails. They’re additionally more and more used for on a regular basis funds, remittances and financial savings, attracting the eye of many enterprise capital traders.
Buzz across the asset class rejuvenated over the previous months because the Trump administration elevated stablecoin regulation to the highest of its crypto agenda. Treasury Secretary Scott Bessent stated that stablecoins have a key function in preserving the U.S. greenback’s international function as a reserve forex.