Trump-linked WLFI issued $128 million USD1 stablecoins, opting for BNB chain as the primary avenue.
World Liberty Financial, a company linked to U.S. President Donald Trump’s family, minted $128.07 million in tokens on April 14. According to information shared with crypto.news by BNB Chain, the decentralized blockchain ecosystem originally incubated by Binance (BNB), almost 90% of these tokens are BNB, with the rest on Ethereum (ETH).
In addition, USD1 also launched a trading pool on BNB-based PancakeSwap, which now holds $19 million in assets. Across BNB and Ethereum, USD1 now has a total value locked of $30 million, which represents third-party holdings.
In response to follow-up questions by crypto.news, BNB Chain clarified it is not affiliated with or directly involved in USD1 but acknowledged the stablecoin would benefit from BNB’s existing liquidity and infrastructure.
Below is our Q&A with a BNB Chain spokesperson.
Read more: World Liberty Financial Inc. quietly launches USD1 stablecoin
crypto.news: USD1 launched on BNB and Ethereum on April 14, without any formal announcement. Were you in negotiations with WLFI, and do you know specifically why the company chose BNB over some other popular chains, like Solana?
BNB Chain: BNB Chain does not issue or own USD1. As a decentralized blockchain ecosystem, our mission is to onboard the next billion users to Web3 and the launch of USD1 is a great step in expanding stablecoin use cases within the ecosystem.
The stablecoin is issued by World Liberty Financial and operates independently. While we do not control USD1, we support it’s deployment on BNB Smart Chain and encourage market participation. We welcome all stablecoins to launch their native token on BSC. Projects can find out more on our guide here.
We do not own the company behind it. WLF is the issuer. They issued on BSC, so we support it. As one of the top blockchains, BSC welcomes all stablecoins can launch their native token on BSC.
In terms of the strength of BSC, BNB Chain provides an ideal environment for stablecoins as it offers speed, scalability, and cost efficiency, with 3-second block times and 5,000 transactions per second. Low transaction fees of below $0.03 make stablecoin transactions affordable, while EVM compatibility enables easy deployment of Ethereum-based projects. Major centralized exchanges integrate BSC-based tokens, improving liquidity and accessibility. BSC has a strong community of over 1.3 million daily active users and robust security measures, including AvengerDAO and DappBay’s Red Alarm, help protect users from exploits and scams. All stablecoins on BNB Smart Chain (BSC) can be found here.
CN: What are the advantages of holding USD1 on BNB? Will the token benefit from BNB’s integration into the Binance ecosystem and its centralized exchange?
BNBC: Access to liquidity, access to BSC’s strong community of over 1.3 million daily active users, and BNB Chain’s rich DeFi ecosystem.
CN: Back on March 24, another stablecoin named USD1 launched on BNB. However, the former Binance CEO “CZ” warned that the token was a scam, as USD1 was not tradable yet. What can BNB do to prevent such scams in the future?
BNBC: At BNB Chain, we believe user education is the first line of defense. We have resources to help users identify potential risks and encourage all users to conduct thorough due diligence (DYOR) before interacting with any token or project. The AvengerDAO community protects BNB Chain users from possible exploits, scams and malicious actors on BNB chain. Red Alarm provides a real-time risk-scanner for Dapps. Users can check our the Dapp and smart contract blacklist and scan any contract address for a quick risk assessment.
CN: What is your opinion on the Genius Act, and how will it impact USD1 compared to other BNB-based and stablecoins in general? Do you believe it could favor USD1, as some legislators suggested?
BNBC: No comment.
CN: European politicians are increasingly seeing stablecoins as a threat to the continent’s traditional financial system. For instance, the Italian economy minister called them a greater threat than tariffs. What is your opinion on the future of stablecoins in the financial markets, both for savings and for payments?
BNBC: No comment but please visit our blog for more information on stablecoins and DeFi and how stablecoins are shaping the future of payments on BNB Chain.
