99% of the circulation of #USD1 is on the $BNB chain. The issuer WLFI has over 60% of its shares owned by the Trump family. Binance's support for USD1 may be a business decision aimed at attracting more users and trading volume, especially under the influence of the Trump family brand effect.
1. Issuer
USD1 is issued by World Liberty Financial (WLFI), a decentralized finance company established in 2024, headquartered in Miami, USA. WLFI has close ties to former U.S. President Donald Trump and his family, with Trump's business entities owning 60% of the company and enjoying 75% of the token sale revenue.
2. Company Background
#WLFI is actively managed by Trump’s son Eric Trump and Donald Trump Jr. Trump himself serves as the "Chief Crypto Advocate," while his son Barron Trump is listed as a "DeFi Visionary."
3. Custody and Compliance
The reserves of USD1 are managed by BitGo Trust Company (a regulated digital asset custodian), with reserve assets including short-term U.S. Treasury securities, dollar deposits, and other cash equivalents. The reserves are subject to third-party audits and provide real-time transparency through Chainlink’s Proof of Reserves (PoR) mechanism.
4. Association with Binance
Abu Dhabi state-owned company MGX (led by members of the Abu Dhabi royal family) announced a $2 billion investment in cryptocurrency exchange Binance using USD1, raising criticisms about potential conflicts of interest. Over 99% of USD1's supply is on the BNB chain (as of May 2025).
5. Abandoning "BUSD" to Fully Embrace "USD1"
The market capitalization and trading volume of USD1 far exceed that of $BUSD, demonstrating its rapid rise within the Binance ecosystem. USD1's dominance on the $BNB chain (99% supply) and the influence of Trump drive the trading volume and adoption of the BNB chain, indirectly enhancing the value of $BNB.
