Speculation is escalating in the cryptocurrency sector as World Liberty Financial (WLFI), a decentralized finance (DeFi) initiative associated with former U. S. President Donald Trump and his family, seems to be testing its highly anticipated stablecoin, USD1. Blockchain analysts have detected activities related to USD1 on both the Ethereum and BNB Chain, with deployments initiated earlier this month. Data from Etherscan and BscScan indicate that over 3. 5 million tokens have been minted on each network, suggesting the project is in its early testing phases. Transactions have involved prominent players such as market maker Wintermute and crypto custodian BitGo, as reported by Arkham Intelligence. The excitement was further amplified when Binance founder Changpeng “CZ” Zhao shared a screenshot of the USD1 BscScan page with his 10 million followers, increasing its visibility and inspiring the creation of copycat tokens. WLFI promptly took to X to caution users that USD1 is not yet available for trading and advised them to be wary of potential scams. Co-founded by Zachary Folkman and Chase Herro, WLFI has garnered significant attention since its establishment, largely due to its association with Trump.

The project aims to create a blockchain-based financial ecosystem that offers lending, borrowing, and transactions powered by stablecoins. While the team has hinted at the launch of a native stablecoin for some time, an official release date has yet to be announced. Stablecoins are recognized as one of the fastest-growing segments in the crypto industry, considered a "killer app" for their price stability and extensive applications in trading, remittances, and everyday payments. Regulatory interest has surged, particularly in the context of the Trump-aligned administration, which has positioned stablecoins as vital for maintaining the global dominance of the U. S. dollar. As competition in the digital dollar arena heats up, the discreet testing phase of USD1 may suggest significant changes in the U. S. stablecoin landscape, especially given the interest and controversy surrounding its Trump-related backing.