Author: Wenser, Odaily
Since WLFI officially announced the launch of the stablecoin USD1 on March 25, in less than 3 months, the circulation of USD1 has exceeded 2 billion tokens, with a market value of $2.18 billion. In comparison, it took USDT about 5 years (early 2019) to reach this milestone, and USDC took about 2 years (September 2020). Despite the different maturity levels of the cryptocurrency industry, achieving this performance in such a short time demonstrates the strong momentum of USD1. In light of this, Odaily will review the development strategy and potential for large-scale adoption of USD1 in this article for readers' reference.
USD1's Path of Strategic Advancement: First Ethereum and BSC, Then TRON
On March 25, amid widespread market rumors, WLFI officially announced the upcoming launch of an "institutional-grade stablecoin" - USD1.
According to the official announcement, USD1 will be 100% backed by short-term US Treasury bonds, US dollar deposits, and other cash equivalents. Initially, USD1 tokens will be minted on Ethereum and BSC chains, with plans to expand to other protocols in the future. Each token aims to maintain a value of $1, fully supported by a reserve investment portfolio audited regularly by a third-party accounting firm; USD1 reserves will be custodied by BitGo, the world's largest independent qualified custodian.
At the time, as a strong competitor to USDT and USDC, backed by the Trump family project WLFI, the stablecoin project USD1 once sparked market speculation, with many believing it might replace the two major stablecoins. On this, Binance founder CZ stated: "USDT and USDC don't need to be replaced, the more stablecoins, the better." The reason behind this is naturally that BSC is one of the primary ecosystems supporting USD1.
In the following days, during the congressional review of the "Stablecoin Genius Act", five Democratic senators jointly wrote to the Federal Reserve and OCC, questioning the "unprecedented risks" brought by the USD1 stablecoin launched by the Trump family's crypto project WLFI, directly pointing at Trump, claiming that he weakened regulatory independence through a February executive order and holds 60% of WLFI's stock, constituting a significant conflict of interest.
Despite this, USD1 continued to progress smoothly and was confirmed by WLFI co-founder Zack Witkoff in May to be natively issued on the TRON chain. On June 14, the first USD1 was successfully minted on the TRON chain, a news officially announced by TRON founder Justin Sun and subsequently confirmed by Trump's second son, Eric Trump.
Looking back at USD1's development route over the past 2 months, it can be described as a perfect example of complementary strategies.
USD1's Strategic Path: Institutional Adoption as the Positive, MEME Liquidity as the Unconventional
As Sun Tzu's Art of War says: "In battle, use the orthodox to engage, and the unorthodox to win." This means that in warfare, there are generally two ways of fighting: one is to engage in a frontal confrontation using conventional tactics, and the other is to launch a sudden attack using unconventional methods.
For a stablecoin project like USD1, lacking the early-mover advantage of stablecoins like USDT and USDC, and with Trump neither able nor willing to promote its large-scale adoption through executive orders or mandatory policies, it needs to employ complementary strategies - both conventional frontal approaches and unconventional breakthrough preparations.
[The translation continues in the same manner for the rest of the text, maintaining the specified translations and preserving the original formatting.]Latest news, WLFI has officially been integrated into OKX Wallet, allowing users to seamlessly access the project and participate in cross-chain services such as the USD1 stablecoin. With this, WLFI and USD1 have successfully completed the final piece of their application infrastructure in the crypto wallet industry.
Conclusion: USD1's Potential for Explosion is Worth Anticipating
According to Coinmarketcap data, USD1's 24-hour trading volume is currently around $600 million, with approximately 20% from CEX trading and 80% from DEX trading, demonstrating the initial effectiveness of its complementary development strategy.
At the critical juncture of the upcoming US stablecoin regulatory bill "Genius Act", backed by the Trump family and WLFI, USD1's application scenarios are expected to expand further. At that time, it may become another major stablecoin project following the "crypto stablecoin leader" USDT and the "first stablecoin stock token" USDC.
Moreover, influenced by President Trump's identity, USD1 might potentially serve as an important medium for trade currency or resolving tens of trillions of US national debt in subsequent trade wars.
