WLFI Stablecoin Surges 1700% in 24-Hour Volume to $1.25 Billion

WLFI $USD1, a stablecoin linked to former U.S. President Donald Trump's camp, experienced a significant surge in its daily trading volume, reaching $1.25 billion in a 24-hour period. This remarkable growth has positioned WLFI as a potential rival to established stablecoins like USDT. Nearly $991 million of this volume was generated from just 10 trading pairs, with the majority of the liquidity concentrated on PancakeSwap V3, a decentralized exchange on the Binance Smart Chain (BSC).

WLFI's rapid ascent from a quiet launch to a market disruptor is noteworthy. The stablecoin's 24-hour volume spike on June 29, 2025, was driven by its strategic use of BSC's low fees and deep liquidity to quickly scale user participation. This growth was achieved with minimal exposure from centralized exchanges (CEX), suggesting an increased demand for stablecoins in decentralized finance (DeFi) and potential dissatisfaction with legacy players like USDT and USDC.

While WLFI does not explicitly come from Donald Trump or his campaign, its brand and backers are closely associated with his political base. The stablecoin is promoted by crypto influencers who support Trump's 2024 run and is rumored to be backed by donors and supporters within Trump's circle. This political association has generated buzz, but it is WLFI's liquidity and technical development that have garnered significant interest. Unlike highly volatile meme coins, WLFI is designed to maintain a 1:1 peg to the U.S. dollar, theoretically providing it with an edge in terms of trust and utility.

WLFI's $1.25 billion volume day places it in contention for the top spot in the non-centralized stablecoin market, at least in the short term. For comparison, USDT typically records $50–70 billion in daily volume across hundreds of trading pairs on dozens of exchanges. WLFI achieved over 1.7% of USDT’s daily volume in just one day, without support from major centralized exchanges. This rapid movement within DeFi suggests that users are experimenting with WLFI as a high-liquidity substitution for swapping, yield farming, and collateralization—use cases historically dominated by USDT and USDC.

On-chain data indicates that WLFI's liquidity pools have attracted tens of thousands of unique wallet addresses, implying a genuine community of individual users rather than bots or wash-trading initiatives. Key figures include more than 17,000 active wallets in WLFI trading pairs in the last 24 hours, $350 million of WLFI locked in DeFi spread mainly across BSC and Ethereum bridges, and the stablecoin maintaining a peg to the U.S. dollar within ±0.1%. These statistics enhance WLFI's credibility as a long-term operation, although some skeptics question whether the promotion is driving the surge. The volume, peg, and user interaction remain in good standing for sustainable growth.

Despite its rapid expansion, WLFI's legal status remains unclear. As a dollar-pegged token primarily used in DeFi, it could attract the attention of U.S. regulators, especially if its backers include political figures or major campaign donors. Regulators have recently increased their scrutiny of stablecoins, particularly those that grow quickly and whose reserves are not fully disclosed. WLFI claims to be 100% hedged by cash equivalent instruments, but audited financials have not yet been provided. If WLFI plans to expand and facilitate transactions on centralized exchanges, regulators will need to provide clarity and transparency.

Amidst increasing trading volume, media exposure, and DeFi momentum, WLFI has reached a pivotal inflection point. Its rapid growth and strategic use of decentralized platforms have positioned it as a credible threat to established stablecoins like USDT. However, regulatory scrutiny and the need for transparency in its reserves will be crucial factors in determining its long-term success.