World Liberty Financial opens vote on treasury funds for USD1 incentives

World Liberty Financial, a Trump-related cryptocurrency project, has launched a governance vote to allocate less than 5% of its unlocked treasury tokens toward boosting adoption of its USD1 stablecoin. The proposal, released on December 28, 2025, aims to fund incentive programs and partnerships but faces early opposition from voters. The vote will conclude on January 4, 2026.

World Liberty Financial (WLFI) initiated a community governance vote on December 28, 2025, proposing the use of less than 5% of its unlocked WLFI token supply to support incentive programs for its USD1 stablecoin. The initiative seeks to accelerate USD1's adoption by securing partnerships across the cryptocurrency sector, thereby enhancing the utility and economic activity within the WLFI ecosystem.

Launched approximately six months ago, USD1 is a dollar-pegged stablecoin with a market capitalization of $3.2 billion, ranking as the seventh-largest stablecoin globally according to DefiLlama data. It trails PayPal's PYUSD but surpasses Ripple's RLUSD. The proposal argues that increased USD1 usage would create more opportunities for value capture, stating: “Increased USD1 adoption creates more opportunities for value capture across the WLFI ecosystem, which accrues to the benefit of WLFI-governed initiatives and long-term token utility.”

WLFI views this expenditure as essential to narrow the competitive gap with rival stablecoins. It mirrors strategies like Binance's recent promotional campaign, which offers up to 20% annual percentage yield on USD1 holdings, capped at $50,000 per user. Under the plan, WLFI would finance similar yield-bearing partnerships using its own equity, with all receiving partners publicly identified for transparency.

However, the proposal has encountered initial resistance. As of the afternoon of December 28, preliminary data indicated 67.7% of participating voters opposed the measure. Despite this pushback, the vote remains open, allowing larger stakeholders to influence the outcome before the January 4, 2026, deadline. The project frames the effort as a 'flywheel' to expand its network's footprint.

Related Articles

UAE royal and Trump-linked executive shake hands on $500M crypto deal, with flags, charts, and DC skyline in background.
Image generated by AI

UAE firm acquires 49% stake in Trump-linked crypto venture

Reported by AI Image generated by AI

A UAE investment firm backed by a powerful royal has purchased a 49% stake in World Liberty Financial, a cryptocurrency company tied to the Trump family, for $500 million just days before Donald Trump's second inauguration. The deal, reportedly aimed at securing access to US AI technology, has sparked ethics concerns amid ongoing crypto legislation. Critics, including Senator Elizabeth Warren, have called for congressional scrutiny over potential conflicts of interest.

Binance is prolonging its promotional program for the USD1 stablecoin, backed by the Trump family, offering airdrops of WLFI tokens to holders. This move follows a high-profile event at Mar-a-Lago hosted by World Liberty Financial and coincides with criticism from Democratic lawmakers, including Elizabeth Warren. The stablecoin has seen significant growth amid broader political scrutiny of crypto ventures.

Reported by AI

World Liberty Financial, affiliated with President Donald Trump's family, has applied for a national trust charter from the Office of the Comptroller of the Currency to manage its dollar-backed stablecoin, USD1. The move aims to expand the company's ecosystem and allow easier use of the cryptocurrency. This application comes amid growing regulatory interest in digital assets.

State lawmakers in Wisconsin addressed fintech and cryptocurrency issues in 2025 through new legislation. Key focuses included bitcoin reserves, crypto ATMs, and earned wage access. Efforts also targeted stablecoins and regulations to combat scams.

Reported by AI

The Colombian fintech Littio has announced a new feature allowing users to earn dollar rewards of up to 12% E.A. on deposited digital assets for up to 90 days. This option is available to any user with an existing account or new sign-up in the country, with no minimum amount and the ability to withdraw at any time.

Citi analysts report growing momentum for the CLARITY Act, a key U.S. crypto market structure bill, but highlight risks of delays beyond 2026 due to disputes over decentralized finance definitions and stablecoin rewards. The Senate Agriculture Committee has advanced its version, while the Banking Committee grapples with contentious issues. A White House meeting on February 2 aims to address stablecoin concerns.

Reported by AI

U.S. Senator Elizabeth Warren has called on the Treasury Department and Federal Reserve to avoid using taxpayer funds to stabilize the cryptocurrency market amid Bitcoin's sharp decline. In a letter to Treasury Secretary Scott Bessent and Federal Reserve Chair Jerome Powell, she warned that such intervention would benefit wealthy investors at public expense. Warren emphasized stronger protections for retail crypto users instead.

 

 

 

This website uses cookies

We use cookies for analytics to improve our site. Read our privacy policy for more information.
Decline