World Liberty Financial Distributes $4 Million in USD1 Stablecoin to WLFI Holders

World Liberty Financial, a platform with ties to former U.S. President Donald Trump, announced on June 4 that it had distributed $4 million worth of its newly launched stablecoin, USD1, to holders of its native token, WLFI. The airdrop, which saw eligible WLFI holders receive $47 in USD1 each, was conducted without the need for claims or additional links, emphasizing a seamless distribution process.

The airdrop was launched on the Ethereum Mainnet and was part of a proposal introduced by World Liberty Financial in April. The proposal aimed to test the platform's airdrop capabilities by distributing small amounts of the cryptocurrency to eligible holders. This initiative not only validated the technical functionality of the airdrop system but also served as a token of appreciation for the project's early supporters.

USD1 gained significant attention in May when it was revealed that the cryptocurrency would be used to finalize a deal between Abu Dhabi-based investment firm MGX and Binance. This development heightened political tensions, with Democrats and Republicans expressing differing views on the matter. The Trump family has deep connections to the crypto project, with sons Eric, Donald Jr., and Barron holding prominent roles as "Web3 ambassadors" and a "DeFi visionary" on the platform.

As Congress moves forward with the GENIUS Act to regulate stablecoins, lawmakers have raised concerns about Trump's involvement in crypto ventures during his presidency. Senator Elizabeth Warren has been particularly vocal, highlighting potential ethical issues related to Trump's affiliation with USD1 and World Liberty Financial. Warren argued that the GENIUS Act could exacerbate corruption by expanding the stablecoin market and increasing the reach and profitability of USD1, potentially making Trump the regulator of his own financial product.