In an unprecedented move that brings together Gulf capital and American financial technology, the MGX Investment Fund, supported by the government of the United Arab Emirates, announced a massive investment of 2 billion US dollars in Binance, the largest cryptocurrency exchange in the world.
A cryptocurrency backed by the Trump family
Notably in this deal, the financing will be through a stablecoin known as USD1, launched by World Liberty Financial, a company owned by the family of former US President Donald Trump. Details of this deal were revealed during the Token2049 conference held in Dubai, with a wide attendance from leaders in the cryptocurrency sector and financial decision-makers.
Interesting statements from Zach Witkoff and Eric Trump
Zach Witkoff, co-founder of World Liberty Financial, stated that the deal represents "a historic turning point in the relationship between cryptocurrencies and institutional investment," noting that the use of USD1 reflects the growing confidence in alternatives to traditional dollars.
On his part, "Eric Trump," the son of the former US President, stated that "the partnership enhances the position of cryptocurrencies in the global financial system and represents a new future for technology-driven and transparent global investment."
Political controversy and regulatory concerns
This deal comes at a sensitive time, as the Binance platform is still facing scrutiny from US regulatory authorities due to previous allegations related to money laundering and illicit transactions. Additionally, the connection of the deal to the Trump family raises political questions, especially with the upcoming US presidential elections in 2026.
A significant shift in the digital landscape
This move reflects a rapidly accelerating global trend towards adopting cryptocurrencies as a key investment tool, not only by individuals but also by governments and sovereign wealth funds. It appears that the Gulf region – particularly the UAE – is solidifying its position as a new global financial center in the world of blockchain and digital assets.
