World Liberty Financial Mints $205 Million in USD1 Stablecoin After Fed Governor's Pro-Crypto Speech

Trump Family's DeFi Project Expands Stablecoin Holdings

World Liberty Financial, the decentralized finance project backed by the Trump family, has minted over $200 million worth of its USD1 stablecoin following a supportive speech from Federal Reserve Governor Christopher Waller. The strategic move occurred just hours after Waller praised stablecoins at a blockchain conference.

USD1 Supply Reaches Record $2.4 Billion

On Thursday, World Liberty Financial announced it had minted $205 million worth of USD1 tokens for its treasury. This significant mint brought the total supply of USD1 to a record high of $2.4 billion, marking the token's first major increase since late April.

The USD1 stablecoin has rapidly climbed the ranks since its launch in early April, becoming the world's sixth-largest stablecoin by market capitalization. The stablecoin market remains dominated by Tether's USDT with $167 billion and a 60% market share, followed by Circle's USDC at $67.4 billion with a 24% share.

Federal Reserve Governor Endorses Stablecoin Technology

Fed Governor Christopher Waller delivered a pro-cryptocurrency speech at a Wyoming blockchain conference on Wednesday, specifically highlighting the potential of stablecoins. His comments appear to have influenced World Liberty's decision to expand its stablecoin holdings.

"I believe that stablecoins have the potential to maintain and extend the role of the dollar internationally," Waller stated during his address. He emphasized that stablecoins could significantly improve both retail and cross-border payment systems.

GENIUS Act Provides Regulatory Framework

Waller praised the recently signed GENIUS Act, describing it as an important milestone for the payment stablecoin market. The legislation, which regulates stablecoins, could help these digital assets reach their full potential according to the Fed governor.

SEC Chair Paul Atkins echoed similar sentiments in August, calling the bill a "seminal step for the US Congress and government" in cryptocurrency regulation.

World Liberty Treasury Holdings Hit Record Levels

The recent USD1 mint has pushed World Liberty Financial's treasury holdings to a record $548 million according to blockchain analytics firm Nansen. The stablecoin now represents the project's largest cryptocurrency holding at $212 million, accounting for 39% of its total portfolio.

The diversified treasury also includes significant positions in other digital assets:

• $85 million in Aave Ethereum USDT (AETHUSDT)

• $85 million worth of Ethereum, holding 19,650 ETH tokens

Future Plans for Public Trading

Earlier this month, reports emerged that World Liberty Financial is exploring the creation of a publicly traded company to hold its WLFI tokens. The project is targeting approximately $1.5 billion in fundraising for this potential public offering.

Market Impact and Industry Significance

The timing of World Liberty's stablecoin mint, coinciding with positive regulatory signals from federal officials, demonstrates the growing institutional acceptance of stablecoin technology. The move reinforces the project's position in the competitive stablecoin market while expanding its treasury reserves.

The USD1 stablecoin's rapid growth to become the sixth-largest stablecoin globally reflects increasing investor confidence in the Trump-backed DeFi platform. As regulatory clarity improves through legislation like the GENIUS Act, stablecoins are positioned to play an increasingly important role in the global financial system.

Conclusion

World Liberty Financial's strategic $205 million USD1 mint following Fed Governor Waller's endorsement of stablecoin technology signals growing institutional support for digital currencies. With treasury holdings now at record levels and potential plans for public trading, the Trump-backed project continues to expand its influence in the decentralized finance sector.

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