World Liberty CEO Defends USD1 Stablecoin Growth Against Trump Ties Allegations

World Liberty Financial CEO Zach Witkoff has defended the USD1 stablecoin against allegations that its growth is driven by political connections to President Donald Trump, citing its trading volume and market adoption as evidence of genuine demand. The defense comes as the company navigates recent regulatory approval and ongoing scrutiny over potential conflicts of interest.

Witkoff pointed to USD1's roughly $1.42 billion in daily trading volume and a market capitalization exceeding $4 billion as proof of organic institutional trust. "USD1 grew because institutions trust how it operate, and confidence at enterprise scale deserves the backing of federal supervision," he stated. The stablecoin, launched in March 2025, is now one of the larger dollar-pegged cryptocurrencies, though it remains significantly smaller than market leaders Tether and USDC.

The debate intensified after the Office of the Comptroller of the Currency issued a preliminary conditional approval on August 14, 2026, for World Liberty Trust Co. to operate as a national trust bank. This charter would allow the Trump-linked venture to directly issue and redeem USD1, manage its reserves, and offer custody services....