The World Liberty Financial co-founder and presidential son posted about the ongoing negotiations on stablecoin yield on Wednesday.
The proposal redirects stablecoin arbitrage from institutional market makers to large token holders and links voting rights to capital commitment.
World Liberty Financial (WLFI), the decentralized finance (DeFi) venture associated with President Donald Trump and his sons, said early Monday that it had been targeted in what it described as a “coordinated attack” involving its stablecoin, USD1. According to CoinGecko data, USD1 — which carries a market capitalization of nearly $4.8 billion — briefly lost its dollar peg before recovering to $1. The temporary dislocation drew immediate attention across crypto markets, particularly given the project’s political ties and growing profile within the digital asset sector. World Liberty Financial Addresses Incident In a statement posted on its official account on X (previously Twitter), the project alleged that multiple attack vectors were deployed simultaneously. “A coordinated attack was launched against USD1 this morning,” WLFI wrote. The team claimed that hackers compromised several cofounder accounts, paid influencers to spread fear, uncertainty, and doubt (FUD), and opened significant short positions in the WLFI token in an attempt to profit from market disruption. Related Reading: Why The XRP Price Bottom Could Be In, And A Jump Above $2 Is Coming A spokesperson for World Liberty told Bloomberg that the company’s engineering and security teams had successfully countered the incident. The spokesperson described the event as a multi‑pronged attempt to undermine confidence in the project, but said internal systems functioned as intended. Beyond the temporary depeg itself, online speculation quickly shifted toward another development that some community members believe could be connected. A social media user known as Chris Coffee suggested that the alleged attack might relate to a forthcoming insider trading investigation teased by on‑chain investigator ZachXBT. Insider Probe Speculation Grows ZachXBT announced on X that he plans to publish a report on February 26 detailing alleged insider trading by employees of “one of the most profitable crypto companies.” The timing has fueled conjecture. Some users pointed to reports that Eric Trump, who has been publicly supportive of WLFI, deleted several posts related to the project following the stablecoin’s volatility. He later posted again about WLFI, further drawing attention to the situation. In crypto circles, speculation intensified that World Liberty Financial could be the subject of the pending investigation, though no evidence has been presented to confirm such claims. Related Reading: Expert Crypto Trader Predicts The Exact Year Bitcoin Will Reach $250,000 The conversation has even extended to prediction markets. On Polymarket, bettors are placing odds on which company ZachXBT’s investigation might target. Current probabilities cited on the platform assign roughly a 20% chance to Pump.fun, 18% to World Liberty Financial, and 14% to Binance. For now, there is no confirmed link between Monday’s reported “coordinated attack” on USD1 and the investigation scheduled for release on February 26. Whether the two events are related or simply coincidental remains uncertain. As of this writing, the company’s native token, WLIF, is trading at $0.1121. This represents a 66% gap between the current trading price and the token’s all-time high of $0.33. Featured image from Sky, chart from TradingView.com
The USD1 token briefly fell to $0.994, some 0.6% below its $1 peg, CoinGecko data shows.
A Trump-linked crypto firm is bringing the former president's brand into the structured credit market. World Liberty Financial plans to tokenize loan-revenue interests tied to the Trump International Hotel and Resort Maldives, offering investors exposure to projected interest payments connected to the project's financing rather than ownership of the property itself. With the completion date […]
The post Trump’s crypto firm made $1.2 billion in 16 months because it found a way to sell resort debt as tokens appeared first on CryptoSlate.
Crypto, real estate and politics collided at Trump’s Mar-a-Lago club as insiders debated tokenization and regulation.
The latest inquiry lands amid broader Democratic pressure over Trump-linked crypto activity and World Liberty Financial.
CNBC reported Thursday that a group of House Democrats are pressing the Treasury Department to examine potential conflicts of interest and national security risks tied to World Liberty Financial (WLFI), the crypto venture associated with the Trump family. Security Concerns Over Trump-Linked Crypto Venture In a letter sent Thursday to Treasury Secretary Scott Bessent, more than 40 Democratic lawmakers, led by Representative Gregory Meeks of New York, called for a formal review of the company’s structure and foreign investment ties. The letter follows a tense House Financial Services Committee hearing earlier this month, during which Bessent testified before lawmakers. At that hearing, Meeks sharply criticized the Treasury secretary, referring to him as a “flunky” of President Trump. Related Reading: ‘Sell Bitcoin Now,’ Peter Schiff Warns, Predicts $20,000 Target On Breakdown He also raised concerns about a $500 million investment in World Liberty Financial made last year by Sheikh Tahnoon bin Zayed Al Nahyan, a member of the United Arab Emirates’ royal family who has sometimes been referred to as the “spy sheikh.” In a statement accompanying the letter, Meeks said the half‑billion‑dollar deal involving an Emirati royal presents both financial and national security concerns. “The Trump family’s $500 million deal connected to the Emirati royal family is not only a matter of national financial instability, but it also carries serious national security implications,” he said. Treasury Asked To Clarify White House Role The lawmakers’ request comes as World Liberty Financial is pursuing a national bank charter. Democrats are seeking assurances that the chartering process remains insulated from political or foreign influence. As such, they argued that the matter extends beyond a technical debate over crypto regulation. “This is no longer just a debate about crypto chartering theory,” they wrote. “It is about foreign ownership, national security, regulatory integrity, and whether our bank‑chartering process is resilient to political and geopolitical pressure.” Related Reading: Revealed: The Biggest Bitcoin Holders Of 2026, According To Arkham Data The group asked Treasury officials to detail what safeguards are in place to prevent foreign governments, their proxies, or politically connected investors from using the national bank chartering process to gain leverage within the US financial system or access sensitive financial and technological infrastructure. They also sought clarification on the role, if any, played by the White House, the Office of Management and Budget, and the Treasury Department in reviewing or influencing charter decisions made by the OCC. The lawmakers requested a response from the Treasury Department by Feb. 26. In closing, they emphasized the broader implications for public trust. “The credibility of America’s banking regulatory framework, and of the institutions charged with protecting it, depends on transparency, independence, and a demonstrated willingness to resist undue influence,” they wrote. As of this writing, World Liberty Financial’s native crypto, WLFI, is trading at $0.1168, marking a 3% decline over the past 24 hours. However, according to CoinGecko data, the cryptocurrency has increased by nearly 10% in the past seven days. Featured image from OpenArt, chart from TradingView.com
U.S. President Donald Trump’s son Eric Trump acknowledged bitcoin’s volatility but said its upside potential outweighs the risks as prices hover below $70,000.
The companies are working to structure and tokenize loan revenue tied to the Trump Organization's Maldives resort project.
The Trump-affiliated token rose on news that a $3.5 trillion asset servicer will pilot USD1, while BTC and ETH continue to trade near multi-week lows.
Apex Group plans to test USD1's stablecoin infrastructure within traditional fund administration, aiming to speed settlement for tokenized assets.
The financial giant with $3.5 trillion in assets has teamed up with World Liberty Financial to test the USD1 stablecoin for fund flows and tokenized assets.
The request follows a separate House probe launched last week by Rep. Ro Khanna, widening the congressional scrutiny around the Trump-linked firm.
World Liberty Financial plans to launch a foreign exchange and remittance platform as scrutiny of its foreign investment ties continues.
Folkman says more details will be revealed soon at an event at Mar-a-Lago.
The letter suggests that the financial ties between the UAE and World Liberty Financial pose national security risks linked to China.
Congressional investigators seek ownership records, payment trails and stablecoin documents from the Trump-linked crypto firm following reports of Emirati backing and its USD1 token’s role in a $2 Billion Binance transaction
The Sheikh has pushed to buy high-powered AI chips from the U.S. for a startup that he owns, and secured the chips months after acquiring the stake.
Binance founder and former CEO Changpeng Zhao (CZ) has pushed back against growing scrutiny surrounding his relationship with President Donald Trump, saying his ties to the president and his family have been widely misunderstood following Trump’s decision to grant him a pardon last year. CZ Rejects Allegations Of Binance’s Political Links Attention on Zhao intensified after President Trump issued a pardon in October 2025, a move that prompted renewed criticism from Democratic lawmakers and fueled questions about Binance’s alleged political and business connections. Addressing the controversy in a recent interview with CNBC, Zhao said claims of a business relationship with the Trump family are inaccurate. “There’s no business relationship whatsoever,” Zhao stated. The former executive added that the narrative surrounding the pardon and Binance’s alleged ties to Trump had been “misconstrued.” Related Reading: Binance Forms New Company In Greece, Moves Forward With MiCA Licensing Much of the scrutiny centers on Binance’s connection to the Trump-linked decentralized finance (DeFi) venture World Liberty Financial (WLFI). That connection traces back to a $2 billion investment made in March 2025 by MGX, a state‑owned firm based in Abu Dhabi, United Arab Emirates. MGX invested in Binance using USD1, a stablecoin created by World Liberty Financial. Zhao emphasized that the payment method was chosen by the investor, not Binance. “MGX is the investor. They choose USD1,” he said. “My request to them was they pay us in crypto. I don’t want to deal with banks, really.” According to Zhao, the use of the venture’s USD1 stablecoin has been wrongly interpreted as evidence of a deeper relationship. “Many people misconstrued that,” he added. WLFI Push Back On Political Influence Claims In a statement, WLFI spokesperson David Wachsman said the company played no role in the pardon process. “As we have stated many times, WLFI is not a political organization and had zero role in the pardon process,” Wachsman said. “To imply otherwise is dangerous and false.” Trump himself downplayed any personal connection in a November interview with CBS’s 60 Minutes. “I have no idea who he is,” the president said of Zhao. Trump added that he had been told Zhao was “a victim, just like I was and just like many other people, of a vicious, horrible group of people in the Biden administration.” Additional attention has focused on Binance’s lobbying efforts in Washington. NBC News reported during the week of the pardon that Binance had hired Checkmate Government Relations, a lobbying firm led by Charles McDowell, who is a friend of Donald Trump Jr. Related Reading: Expert Analyzes XRP, Ethereum, And Solana: Predictions For The Next Altcoin Season According to disclosures, the firm was paid $450,000 to lobby the White House and the Treasury Department on matters including “executive relief” and digital asset‑related financial services policy. Zhao denied that any lobbying effort was connected to his pardon. “There is a lot of media saying that there is some deal in place to get me the pardon,” he told CNBC in Davos. “As far as I know, that does not exist at all.” Binance’s former CEO also said he has never spoken directly with President Trump. “The closest that I got to him was today when he was doing the Board of Peace session,” Zhao said. “I was in the audience, about 30 to 40 feet away from him.” At the time of writing, Binance Coin (BNB) was trading at $893, having recorded a 4% drop over the previous week. However, it is one of the few cryptocurrencies to have retained gains year-to-date, with an increase of 30% in that time. Featured image from OpenArt, chart from TradingView.com
The OCC says the trust-bank application tied to President Donald Trump-connected World Liberty Financial will move ahead without the senator's requested pause.
Spacecoin aims to provide permissionless internet access via satellite constellation, targeting remote and underserved communities.
Crypto.com will mint nontradable tokens for DJT shareholders on Feb. 2, as Trump Media expands its blockchain rewards strategy.
A governance vote at World Liberty Financial (WLFI), a DeFi project marketed around the Trump brand, is drawing allegations of “slow” value extraction after a prominent trader claimed affiliated wallets pushed through a proposal while many public holders remained unable to access or vote with their tokens. DeFi^2 (@DeFiSquared), who describes himself as the #1 ranked trader on Bybit in 2023 and 2024, wrote on X that he was “bringing up an alarming governance vote by World Liberty Fi this month that appears to be the start of a slow extraction of value from WLFI holders by the team.” World Liberty Fi Hit With ‘Rigged Vote’ Claims DeFiSquared wrote: “What you see above appears to be a rigged vote, where the majority of top voters are indicated to be team wallets or strategic partner wallets by Bubble Maps. This is in contrast to the real voters lower in the screenshot, who have all been locked from accessing their WLFI tokens since TGE, and unable to vote on an unlock until the team allows it.” Related Reading: Trump-Linked World Liberty Backs USD1 With Treasury-Fueled Expansion The proposal at the center of the thread is what he calls the “USD1 growth proposal.” He argues it reads as “fairly mundane” on its face, but says the governance sequencing is the tell: “why would the team go out of their way to force this vote through, instead of voting on the WLFI token unlock that the majority of holders are asking for?” His thesis hinges on WLFI economics. DeFiSquared claims WLFI holders “are not entitled to ANY protocol revenue at all,” and says the project’s “Gold Paper” specifies revenue routing: “75% of protocol revenue goes to the Trump family, and 25% goes to the Witkoff family.” In his framing, that creates a perverse incentive: “It’s actually as crazy as it sounds: the team is forcing a vote to sell WLFI tokens at the expense of locked holders, in order to fund protocol revenue that goes only to themselves.” Related Reading: Trump’s WLFI Moves To Contain Wallet Breach While Federal Inquiry Looms He also alleges the vote’s outcome was manufactured late in the process. “This vote was actually failing by the time it reached quorum with a majority of votes rejecting the proposal, until the team / partners forced the vote through,” he wrote, adding token allocation context: “the WLFI team is allocated 33.5% of all tokens and strategic partners another 5.85%, while the public sale was allocated only 20%.” Post-vote, he points to on-chain flows as corroboration, citing “fresh transfers such as this one of 500 million WLFI tokens to Jump Trading,” while “investor WLFI allocations remain forcibly locked.” DeFiSquared closes with a valuation and positioning call: “it’s difficult to see the intrinsic value behind a 17 billion dollar token that has no real governance power, no revenue share, and new foundation sell pressure occurring for their own benefit.” He adds he has shorted WLFI “on and off since pre-market prices above $0.34,” and expects continued downside “due to dilution, intentional extraction,” and “other factors related to Trump’s final term in office.” At press time, WLFI traded at $0.1608. Featured image created with DALL.E, chart from TradingView.com
The agreement would explore integrating a dollar-backed stablecoin into Pakistan’s regulated payments system as the country ramps up plans for digital currency and virtual-asset rules.
Pakistan signed MOU with Trump-backed World Liberty Financial to explore using the USD1 stablecoin for cross-border payments.
Government-ethics questions still hang over the U.S. Senate's plans to vote on the crypto market structure bill, and Warren is raising a related argument.
The Trump family–backed crypto venture has rolled out World Liberty Markets, a new DeFi app built on Dolomite. DOLO rose by 57% following the announcement.
The launch deepens scrutiny around World Liberty as it seeks a U.S. bank charter, with critics pointing to Trump family financial conflicts.
World Liberty Financial is trying to launch the World Liberty Trust Company, a stablecoin-focused national trust bank, it said Wednesday.