United States President Donald Trump has officially launched his stablecoin, USD1. According to a statement from his family company, World Liberty Financial Inc. (WLFI), the stablecoin will be pegged to the United States dollar.
The company mentioned that the token is backed by short-term US government treasuries, USD deposits, and other cash equivalents. It added that every token equals a real dollar, with no exceptions. WLFI also noted that it built the thing to give the people a stablecoin that they don’t need to second guess.
The token will launch on Ethereum and Binance Smart Chain, with plans underway to launch it on other blockchains soon. WLFI mentioned that audits will be carried out by a third-party accounting firm and full transparency will be a core feature. The idea is to keep the token fixed at $1, ensuring that people can verify and trust it.
Donald Trump’s WLFI picks BitGo for custody and liquidity
Donald Trump and his family firm WLFI have picked BitGo to be in charge of the reserves. The platform is known for managing billions in digital assets for institutions. Their role will include custody, trading services, and liquidity support through BitGo Prime. The platform is expected to keep everything locked down, regulated, and insured.
“The launch of USD1 represents a significant advancement in institutional-ready crypto,” said Mike Belshe, CEO of BitGo. “Our clients demand both security and efficiency, and this partnership with WLFI delivers both – combining deep liquidity with the assurance that reserves are securely held and managed within regulated qualified custody.”
WLFI has mentioned that the coin is aimed at institutional and sovereign investors who are interested in moving large sums without touching traditional industry. “We’re offering a digital dollar stablecoin that sovereign investors and major institutions can confidently integrate into their strategies for seamless, secure cross-border transactions,” Zach Witkoff, the co-founder of WLFI said.
He also mentioned that the token isn’t algorithmic and is not an anonymous defi project. This means that there are no risky yield schemes or unbacked promises. “USD1 provides what algorithmic and anonymous crypto projects cannot—access to the power of DeFi underpinned by the credibility and safeguards of the most respected names in traditional finance,” he said.
According to WLFI, the whole structure was inspired by Trump. The project was designed in his name, with the approach about him. The company is also working on a governance platform and a full DeFi protocol that normal people can use to access the sector. WLFI mentioned that it wants to use a tool that removes friction from crypto and enables access to the financial system without the need for middlemen on centralized platforms.