WLFI is expanding the reach of its USD1 stablecoin by deploying it on AB Chain, an integration aimed at leveraging the network’s high throughput for faster settlements and deeper DeFi liquidity.
Summary
- WLFI has deployed its USD1 stablecoin on AB Chain to improve settlement speed and DeFi liquidity.
- Launched in March, USD1 is fully backed 1:1 by US dollars and government money market funds.
According to one press release on November 13, the Trump family’s World Liberty Financial technically staked its USD1 stablecoin on the AB Chain. Developed in collaboration with the AB Chain team, this integration allows users to transact on dollar-pegged assets using AB’s underlying architecture.
The partnership also deepens integration, with native AB Wallet planning to support zero-fee USD1 transfers and exploring future return-generating services associated with the stablecoin.
WLFI expands USD1 stablecoin footprint
WLFI first launched USD1 in March this year and initially only supported Ethereum and BNB Chain. The stablecoin, which is backed 1:1 by US dollars and government money market funds and has monthly attestation reports, has since grown to a market capitalization of $2.81 billion.
Its availability on major exchanges such as Binance and Bybit, alongside decentralized protocols such as Uniswap and PancakeSwap, was central to the adoption strategy.
Notably, WLFI’s aggressive growth trajectory has accelerated significantly in recent weeks. Just days before AB Chain’s announcement, the Trump-backed digital asset firm integrated USD1 into the StableStocks ecosystem, allowing users to trade nearly 200 tokenized US stocks and ETFs directly with the stablecoin.
Before that, the company unveiled a points program on the Dolomite Protocol, incentivizing users to supply USD1 in an effort to boost its DeFi utility. This operational expansion extends to the legal team, with the appointments in late October of Mack McCain, a former Robinhood chief legal officer, and Charles Schwab, as new General Counsel.
However, WLFI’s meteoric rise has been complicated by serious allegations from leading investors. The platform is currently facing backlash for allegedly freezing investor funds. Ethereum developer Bruno Skvorc publicly so-called that his tokens were locked after his wallet was labeled “high risk,” a situation he described as “theft” and a “mafia-style setup.”
The controversy escalated when Tron founder Justin Sun revealed that his $75 million stake in WLFI had also been frozen. He called the action “unreasonable” and contradictory to the core principles of blockchain. Blockchain analyst ZachXBT suggested that automated compliance systems, triggered by previous interactions with platforms like Tornado Cash, may be responsible for the lockups.
