World Liberty Financial, a cryptocurrency company launched by Donald J. Trump and his sons, announced Tuesday that it plans to deepen the president’s financial ties with crypto as his administration eases industry enforcement.
Stablecoin is known as USD1, the company wrote in a social media post, but without revealing when it will be sold. A common form of cryptocurrency, Stablecoins is designed to maintain a constant value of $1, and is useful for many types of crypto transactions.
“There are no games, no mechanisms, just stability,” World Liberty posted on his X account.
Stablecoin is the fourth digital currency sold to the public last year by Trump and his business partners. World Liberty already offers a cryptocurrency called WLFI. This month, the company announced that it had sold $550 million of these digital coins. Business entities associated with Trump have received a 75% reduction in sales.
A few days before taking office, Trump began selling so-called memo coins. This is a kind of digital currency based on online jokes and celebrity mascots. Melania Trump put his memo coins to the market the same weekend.
And in recent months, Trump has begun to incorporate Crypto into the parent company of social media companies Trums Media & Technology Group and Truth Social. Trump Media announced this week that it will work with digital currency trading platform crypto.com to provide crypto-related investment products.
Trump’s aggressive advance into the crypto market is happening at the same time as his administration has made it easier for crypto companies to enforce and refuses restrictions. Government ethics experts say his efforts to benefit from the industry overseeing the vast amount of conflicts of interest, as he is virtually unprecedented in American history.
World Liberty’s Stablecoin adds to the nasty knot of business conflict. Congress is considering legislation that regulates the ridiculous idiots that could reach Trump’s desk by the end of the year. In a speech at this month’s crypto conference, Trump said he would “expand control of the US dollar,” and called for stablecoins to “simple, common sense rules.”
Stubcoins are usually supported by assets stored by the coin issuer. Every time a user redeems a Stablecoin, they can go to the issuer and exchange digital coins for cash equivalents.
In an announcement Tuesday, World Liberty said it will support Stablecoin using short-term US Treasury, dollar deposits and other cash equivalents.
“We provide digital dollar stability that allows sovereign investors and key institutions to confidently integrate into a seamless, secure cross-border trading strategy,” said Zach Witkoff, one of the founders of World Liberty and Envoy’s son to the Middle East, Trump.
Corey Frayer, who worked on crypto policy for the Securities and Exchange Commission under the Biden administration, raises the prospect that the emphasis on international payments could potentially curry favors by foreign governments or business agencies in favor of Trump.
“There is a lot of opacity in this market and it has a previous relationship with illegal finance,” Freyer said.
Trump, a former crypto skeptic, last year embraced digital currency on the campaign trail and committed to transforming the United States into the “crypto capital of the planet.” The industry has spent tens of millions of dollars funding Congressional candidates who supported Trump and spoke favorably about the code.
In September, Trump began world freedom with his three sons, Donald Jr., Eric and Baron, Steve and Zach Witkoff. They entrusted two little-known entrepreneurs with virtually no track record in the industry, Chase Hero and Zach Falkman, to run the business day by day.
World Liberty initially promised to create a cryptographic platform that allows users to borrow and lend digital currency. However, so far, the company has not implemented any products other than WLFI and Stablecoin.
Over the past few months, the company has set out on something like a purchase, compiling a stockpile of cryptocurrency, including ether and lesser known coins such as SUI and Link.
In a recent panel, Hero said that global freedom is creating a “strategic reserve” of tokens. He did not explain the ultimate purpose of stockpiling.
The idea had a clear echo of the creation of a US stockpile of Bitcoin, one of Trump’s initiatives at the White House.
