Published Thu, May 1, 2025 · 07:27 PM
[DUBAI] World Liberty Financial, the Trump family’s decentralised finance project, said its new stablecoin is being used for a US$2 billion investment in crypto exchange Binance Holdings by Abu Dhabi’s MGX.
MGX made the minority investment in Binance in March, but the stablecoin that would be used to settle the deal was not disclosed. The companies will use World Liberty’s USD1 stablecoin for the transaction, World Liberty co-founder Zach Witkoff said on Thursday (May 1).
“We are excited to announce today that USD1 has been selected as the official stablecoin to close MGX’s US$2 billion investment in Binance,” Witkoff said on a panel alongside Eric Trump at the Token2049 conference in Dubai. “We thank MGX and Binance for their trust in us.”
Despite not yet being listed on centralised cryptocurrency exchanges for trading, USD1 has roughly US$2.1 billion in market value, according to CoinGecko data.
Initially distributed on the Ethereum and Binance Smart Chain (BSC) blockchains, USD1 will also be integrated on the Tron network in future, Witkoff said. Tron’s founder and Chinese cryptocurrency billionaire Justin Sun, who moderated the panel discussion on Thursday, has said his crypto project invested around US$75 million in World Liberty as of January.
Stablecoins are cryptocurrencies that aim to maintain a one-to-one value with a less volatile asset like the US dollar. Typically, they do this by relying on reserves of cash and cash-equivalent assets like US Treasury bills and money market fund holdings.
Speaking on the same panel, Eric Trump said he believes crypto will disintermediate financial institutions in future. “You are no longer at the mercy of the government that you might not trust or a currency you might not trust,” he said. “And that’s why we are so incredibly proud of USD1.” BLOOMBERG
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