"Trump Family Project to Launch Dollar-Based Stablecoin"

The Trump family's decentralized finance (DeFi) project, World Liberty Financial (WLFI), has officially announced plans to launch a dollar-based stablecoin.

On the 25th (local time), World Liberty Financial announced through Medium that it plans to launch a U.S. dollar-based stablecoin, 'World Liberty Financial USD (USD1)'. USD1 is pegged to 1 dollar and is fully collateralized by U.S. Treasury bonds, dollar deposits, and other cash assets. The reserves are held by the custodian company BitGo, and liquidity is provided by BitGo Prime. Regular audits of the reserves will also be conducted.

USD1 is initially expected to be issued on the Ethereum (ETH) and Binance Coin (BNB) chains. It is known that test transactions have already been conducted on these chains. WLFI added, "There are plans to expand to other networks as well."

In particular, it emphasized focusing on large institutional adoption through a conservative approach. WLFI explained, "Existing alternatives have risk factors due to complex yield generation structures," and "USD1 provides the clarity and security needed for institutional adoption through a conservative approach that prioritizes stability."

Zach Witkoff, co-founder of WLFI, said, "USD1 is a DeFi approach based on the trust and safeguards of traditional finance," and "It is a digital dollar stablecoin that national and large institutions can use with confidence." He added that it offers advantages that algorithm-based or anonymous stablecoin projects cannot provide and supports smooth and secure cross-border transactions.