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WLFI Plans $120 Million Boost for USD1 Stablecoin Growth

Key Takeaways

  • World Liberty Financial proposed allocating 5% of its WLFI treasury, about $120 million, to support the growth of its USD1 stablecoin;
  • The plan would unlock WLFI holdings as strategic support, partnering with major CeFi and DeFi players, not direct token grants;
  • The governance proposal is open for voting, with early stakeholder feedback leaning toward opposition as responses continue to come in.

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WLFI Plans $120 Million Boost for USD1 Stablecoin Growth

World Liberty Financial, a crypto organization associated with the Trump family, has suggested allocating 5% of its WLFI token treasury, valued at approximately $120 million, towards the growth of its stablecoin, USD1.

An official proposal posted to the World Liberty Financial governance forum on December 17 recommended unlocking WLFI holdings to support the stablecoin's expansion by partnering with principal centralized finance (CeFi) and decentralized finance (DeFi) players.

The proposal stated that these funds would be provided as strategic support rather than as direct token grants.

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It added, "As USD1 grows, more users, platforms, institutions, and chains integrate with World Liberty Financial infrastructure. This increases the scale and influence of the network governed by WLFI holders".

The WLFI treasury contains nearly 19.96 billion tokens, which form a reserve estimated at around $2.4 billion. Based on the 5% being discussed, about $120 million in value would be set aside for this initiative, according to data referenced in the governance forum post.

The proposal remains open to stakeholders for voting, offering choices to approve, reject, or abstain. Early feedback indicates a tendency toward opposition, though stakeholders continue to submit responses as the voting window remains active.

On December 11, Binance $7.95B introduced trading pairs that feature the Trump-family-supported stablecoin USD1. What did Zach Witkoff, World Liberty Financial's CEO and co-founder, say? Read the full story.

Aaron S. Editor-In-Chief
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.
Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.

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