World liberty Financial Inc. (”WLFI”), the leading DeFi protocol and governance platform inspired by President Donald Trump has announced plan to launch USD1, a stablecoin redeemable 1:1 for the US dollar. The company disclosed the development in a blog post on Tuesday.
According to the post, the USD1 tokens will be minted on Ethereum (ETH) and Binance Smart Chain (BSC) blockchains before expanding to other protocols in the future. The WLFI’s stablecoin will also be backed by short-term US government treasuries, US dollar deposits, and other cash equivalent. As revealed, each token is intended to maintain a value of $1 USD, fully backed by a reserve portfolio audited regularly by a third-party accounting firm.
Furthermore, the USD1 also prioritize stability through its conservative approach thereby eliminating additional risks commonly associated with its counterparts. The stablecoin also avoid complex yield-generating mechanisms by offering clarity and security needed for broader institutional adoption.
Donald Trump WLFI co-founder reacts to the upcoming launch
Meanwhile, the co-founder of Donald Trump World Liberty Financial company Zach Witkoff has given his insight on the upcoming launch. According to him, this USD1 will offer a lot more to users compared to other algorithmic and anonymous crypto projects. He added that WLFI intends to offer a digital dollar stablecoin that enables sovereign investors and major institutions to confidently integrate their strategies for seamless, secure, and cross-border transactions.
In addition, the stablecoin will be kept safe by BitGo, a leader in digital asset security, custody and liquidity. Similarly, BitGo brokerage service, BitGo Prime will also support USD1. This will provide institutional clients with access to deep liquidity and trading, from all insured and regulated qualified custody.
BitGo CEO, Mike Belshe also gave his insight on the upcoming launch. Mike expressed delight at the upcoming launch of USD1, describing it as a significant advancement in institutional-ready digital assets. The exec added that the partnership with Trump WLFI delivers both security and efficiency, further combining deep liquidity with the confidence that reserves are securely maintained and managed within a framework of regulated, qualified custody.
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