Brother Sun just announced on Twitter: Tron USD1 has been listed on @HTX_Global and @Gate.
Cathy's fans have many newcomers, so I'm here to interpret what this message really means:
1. USD1 is a dollar stablecoin issued by Trump's family company, pegged to the US dollar with an exchange rate close to 1:1.
The image below is the company team introduction displayed on the company's official website; the lineup is already luxurious to the extreme.
2. This dollar stablecoin USD1 issued by the Trump family ranks seventh in issuance and market share, accounting for 0.83%. Although the ranking is not high, this stablecoin is viewed positively because of President Trump's endorsement and his promotion of the US Congress passing the stablecoin bill to solve the short-term US Treasury bond issue.
The image below is the ranking of major dollar stablecoins on Coingecko, which is generated based on the amount minted on the chain.
2. The closer the exchange rate of a dollar stablecoin to 1, the better. If it exceeds 1 or drops below 1 too much, it is considered to have decoupled. Decoupling from the fiat currency it is pegged to is a major incident that can lead users to sell the stablecoin for USD or other stablecoins with more stable exchange rates.
A while ago, USD1 briefly decoupled and the exchange rate dropped to 0.993, but it quickly recovered to 0.999.
Before this decoupling, USD1's market share was originally at 0.88%, but after the decoupling, it dropped to 0.83%. This is because users are worried about the instability of USD1's price and fear losses, so they are reluctant to hold it.
3. In order to expand market share, USD1 needs to continuously increase its issuance. The more it is issued, the more people use USD1 to buy and sell other cryptocurrencies and hold USD1 in their wallets and exchange accounts. The greater the demand for USD1, the more USD1 will be issued by the WLFI company.
4. For each USD1 stablecoin issued and minted on the chain, the company needs to have a custodian institution recognized by the US government, holding real assets with a liquidity value of 1 USD, such as short-term US Treasury bonds, so that users holding USD1 can sell USD1 for USD at any time, maintaining sufficient liquidity. These highly liquid assets held in institutions serve as the backing assets for USD1 stablecoin to anchor to the USD and maintain high liquidity.
5. In order to expand issuance and increase market share, USD1 needs to be minted on enough public chains, providing sufficient liquidity so that users on each public chain can exchange for USD1 immediately using various cryptocurrencies like BTC, ETH, USDT, etc.
6. Similarly, in order to expand issuance and increase market share, USD1 also needs to be listed on all centralized exchanges, so that users on major exchanges can exchange and hold USD1 anytime and anywhere.
7. Therefore, Brother Sun's post indicates two things:
--USD1 has minted some issuance on the Tron chain.
--HTX and Gate exchanges have both listed USD1.
Both of these are positive news for USD1.
8. Last year, Brother Sun announced joining Trump's family company as an advisor, so the $WLFI tokens issued for USD1 can be said to be from his heart and soul. He has been assisting in promotion and has participated in the two public presales of the $WLFI token last October and this January, spending a total of 300 million + 750 million USD to buy WLFI tokens.
9. CZ has also joined the WLFI ship. This March, the Dubai royal family, which is the sovereign fund MGX of the UAE, invested in Binance to buy shares, and the money for buying the shares was settled using USD1 from WLFI. This is equivalent to the Dubai prince buying 2 billion USD1 with USD or other cryptocurrencies, paying Binance for shares. So Binance now has at least 2 billion USD1 on hand.
10. Various public chains and exchanges, in order to cozy up to President Trump and hop on the fast train of US stablecoins, and even to have more presidential family connections for compliance in the US, will actively establish good relations with Trump's family company and will list USD1 on their public chains and exchanges. Of course, in business terms, besides building connections, if the trading volume of the popular USD1 continues to increase, each public chain and exchange will also earn massive gas fees and transaction fees.
11. The hardest exchange for USD1 to secure is Coinbase, the number one exchange in the US, because the Circle company that issues the second-ranked stablecoin USDC is invested in by Coinbase. Coinbase holds 3.5% of Circle and takes 50% of the USDC reserve interest income, and a significant part of the current circulating USDC is stored in Coinbase. However, with President Trump's political savvy, it is only a matter of time before USD1 is listed on Coinbase.
The image below shows the results of searching USD1 on Coinbase exchange; it has not yet been listed.
12. The company is cooperating with most exchanges to prepare for the listing and trading of their token $WLFI from the end of August to mid-September, and is also planning to launch an event of 'trading USD1 for $WLFI token airdrop', similar to the Binance Launchpad allowing users to stake BNB, FDUSD, or BUSD to mine before the launch of a new coin, with more staked earning more tokens.
The expectation for $WLFI tokens to be listed on exchanges from the end of August to mid-September is based on their official Twitter post from July 19.
The rules for this airdrop have not been officially announced yet, but the general principle will definitely be that the more USD1 you hold and trade, the more $WLFI tokens you will receive in the airdrop. This is also an opportunity for retail investors who missed the two presales of $WLFI to receive $WLFI airdrops in the token.
