US President Donald Trump-backed World Liberty Financial’s (WLFI) stablecoin is making its way to the tally of the biggest cryptos in the market. The dollar-pegged USD1 has exploded into the world’s 7th-largest stablecoin in just two months.
Launched back in March with a size of $3.5 million supply, USD1 has zoomed to a $2.2 billion market cap. The cumulative stablecoin market cap stands at $246 billion, with Tether’s USDT leading the charge.
USD1 hits $2.2B market cap
USD1 still lags behind the OGs in the market like USDT ($149.5 billion market cap) and USDC ($61 billion market cap). However, it has managed to leapfrog PayPal USD’s $872 million market cap, First Digital USD’s $1.5 billion market cap and even Tether Gold at $823 million.
This surge has been driven largely by its near-exclusive issuance on Binance-backed BNB Chain. As $2.1 billion of USD1 circulates on BNB Chain, it represents over 99% of its total supply. Meanwhile, a much smaller $14.5 million tranche exists on Ethereum.
USD1 accelerated sharply in late April when its market cap ballooned 1,540% from $128 million to $2.1 billion.
The spike is also backed by Eric Trump’s announcement that Abu Dhabi’s MGX investment firm would channel $2 billion into Binance using USD1. Meanwhile, the WLFI community is busy voting on an airdrop proposal. Reports suggest that 90% of WLFI’s investors aren’t American.
After the major announcement, Senator Elizabeth Warren wasted zero seconds and stated, “A fund backed by a foreign government is making a $2B deal using Donald Trump’s stablecoins.” She’s furious that the GOP-led Senate is prepping to pass the GENIUS Act, a stablecoin bill she claims could “help the President and his family line their own pockets.”
The World Liberty Financial project’s team includes President Donald Trump affiliates such as his son Eric Trump and Zach Witkoff, the son of Trump’s special envoy to the Middle East, Steve Witkoff.
Witkoff had announced that USD1 is hopping onto Tron, which is Justin Sun’s blockchain.
Bitcoin eyes $100K as Trump’s cryptos go parabolic
Sun turns out to be the WLF’s biggest known investor with at least $75 million in the pot and is also an adviser to the project. However, Sun also moderated the panel where Witkoff and Eric Trump were both flexing USD1.
This comes in when the US Securities and Exchange Commission (SEC) paused its securities fraud case against Justin Sun earlier this year. Meanwhile, Donald Trump has doubled down on promises to be the “crypto president” and overhaul US crypto rules.
The global digital assets market posted a surge of around 3% on early Thursday morning as Bitcoin inches towards the $100k mark. The cumulative crypto market cap breached the $3 trillion mark with a trading volume of $112 million.
Bitcoin price surged by 2.5% over the last day and is trading at an average price of $99,613 as of press time. Ethereum, the biggest altcoin, recorded a jump of 5% in an attempt to regain the crucial $2,000 mark. ETH is trading at an average price of $1,936 as of press time.
Trump’s OFFICIAL TRUMP is among the biggest gainers of the day as its price skyrocketed by 12% in the last 24 hours. TRUMP is trading at an average price of $12.25 with a trading volume close to $1 billion. It is still down by 83% from its all-time high of $75.35.
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