Trump-Backed World Liberty Financial Launches Crypto Lending Platform

World Liberty Financial, a crypto project supported by U.S. President Donald Trump, has launched a new lending and borrowing platform called World Liberty Markets. The platform allows users to lend and borrow digital assets using USD1, the project's dollar-backed stablecoin, alongside other major tokens such as ether, USDC, and USDT according to The Block. The platform is built on the Dolomite infrastructure and aims to enhance the utility of USD1 by providing onchain credit options as reported.

USD1 has grown into one of the largest dollar-backed stablecoins, with a market capitalization approaching $3.5 billion. It ranks just behind PayPal's PYUSD in circulation according to data. The new platform is positioned to deepen USD1's integration into the broader crypto ecosystem and expand its use in decentralized finance (DeFi) according to Cointelegraph.

World Liberty Financial is also seeking a U.S. bank charter through its subsidiary, World Liberty Trust Company (WLTC). The firm filed an application with the Office of the Comptroller of the Currency (OCC) for a national trust bank charter, which would regulate the issuance, custody, and conversion of USD1 as reported. If approved, the charter would provide a full-stack solution for institutional clients and help bring USD1 under federal supervision according to Seeking Alpha.

Why Did This Happen?

The timing of World Liberty Markets' launch aligns with a broader recovery in crypto credit markets. DeFi lending volumes have rebounded from post-2022 lows, with active loans reaching nearly $41 billion by the end of the third quarter of 2025 according to The Block. This trend reflects increased demand for collateralized lending and borrowing options among crypto holders according to Cointelegraph.

The platform's launch is also part of a strategic move to expand USD1's use cases beyond payments and treasury operations. World Liberty executives have emphasized that the new product is designed to support tokenized real-world assets and deeper integration with prediction markets and crypto exchanges according to Bloomberg.

What Are Analysts Watching Next?

Analysts are closely watching how regulatory scrutiny might impact World Liberty Financial's operations. The Trump family's significant financial exposure to the project has raised concerns about potential conflicts of interest. According to a Reuters investigation, the Trump family earned hundreds of millions from WLFI token sales in the first half of 2025 alone according to The Block.

Regulatory outcomes, including the approval status of the bank charter application, will also be key. If granted, the charter could help World Liberty Financial gain broader institutional adoption and reduce regulatory uncertainty according to Seeking Alpha.

The success of World Liberty Markets may also depend on market adoption and user participation. The platform has already attracted $20 million in supplied assets, driven by high incentive rates for lenders according to Yahoo Finance. Analysts are monitoring whether the platform can sustain this momentum as competition intensifies in the crypto credit space according to CoinMarketCap.

World Liberty Financial plans to launch a mobile app later this year, which will integrate the new lending and borrowing functionality according to Bloomberg. The firm has also signaled a broader product roadmap over the next 18 months, including deeper integration with real-world assets according to Yahoo Finance.

The firm's governance token, WLFI, has seen a recent 18% increase in the last two weeks, though it remains significantly below its all-time high according to Yahoo Finance. Market participants are assessing whether regulatory clarity and product expansion can drive further appreciation in WLFI's value according to CoinMarketCap.