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The market capitalization of the dollar stablecoin USD1, launched by the team of US President Donald Trump, has exceeded $3 billion for the first time. This was reported by representatives of World Liberty Financial (WLF) on the social network X.
Over the past 24 hours since December 24, the capitalization indicator increased by more than $200 million, or about 7.5%. The growth in supply occurred due to the issuance of new tokens on the Ethereum blockchain, with the total supply on the network exceeding $860 million. However, the majority of tokens still remain on the BNB Chain (BNB) blockchain, developed by the Binance exchange — over $1.9 billion. Nearly $135 million has been issued on the Solana (SOL) network.
The sharp increase in capitalization coincided with the launch of a bonus program by the Binance exchange for USD1 holders on the platform, offering 20% on deposits in the stablecoin. A few hours after the campaign began, the price of the Bitcoin to USD1 trading pair plummeted threefold within a minute and then surged back to market values, from about $87,000 to nearly $24,000 and back.
World Liberty Financial (WLF) acts as the issuer of USD1, and the stablecoin operates on the classic business model of the largest stablecoins by market capitalization on the crypto market — USDT from Tether company and USDC from Circle company.
The growth in capitalization implies that Trump's team's project (WLF) will also increase its potential income. This is due to the interest generated by the short-term US government bonds that back USD1.
The USD1 token is not the only one in the stablecoin sector to show capitalization growth. For example, Tether's USDT also increased its capitalization, albeit at a less rapid pace in percentage terms — since the beginning of December, the indicator has grown by $2.2 billion, to $186.8 billion (a growth of just over 1%), according to Defillama on December 25.
Circle's USDC capitalization increased by nearly $0.5 billion, to $76.6 billion, representing a growth of just over 0.6%. But there are also examples with negative dynamics. The capitalization of the fourth-largest stablecoin, USDe from Ethena, has decreased by $0.86 billion since the beginning of December, to $6.32 billion. And since the beginning of October, the indicator has more than halved.
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