- World Liberty Financial minted $205 million of its USD1 stablecoin and boosted total supply to $2.4 billion, making it the sixth-largest stablecoin by market cap.
- The expansion comes before World Liberty’s WLFI governance token launches in September with community-focused distribution across major exchanges.
- Treasury partner ALT5 Sigma denies SEC insider trading allegations linked to venture capitalist Jon Isaac and their $1.5 billion funding round.
World Liberty Financial has significantly expanded its USD1 stablecoin circulation, minting $205 million to boost total supply to $2.4 billion. The expansion represents a 9% increase and marks the largest issuance since April. USD1 now ranks as the sixth-largest stablecoin by market capitalization, gaining ground on established competitors Tether and Circle.
The Trump family-backed crypto venture confirmed the minting through social media channels. Analytics firm Nansen reports the expansion raised World Liberty’s treasury reserves to $548 million. USD1 comprises nearly 40% of the portfolio at $212.59 million, exceeding its AETHUSDT position valued at $84.86 million.
Source: Nansen; World Liberty Finance Historical Token Portfolio
Strategic Positioning Before Token Launch
The timing appears strategic ahead of World Liberty’s governance token debut. The WLFI token launches in September with a community-focused unlock schedule across centralized and decentralized platforms. Traders suggest the stablecoin expansion strengthens the project’s foundation before broader token distribution.
USD1 operates on Ethereum and Binance Smart Chain blockchains, with plans for multi-protocol expansion. Each token maintains $1 parity through reserves audited by third-party accounting firms. The stablecoin’s rapid adoption reflects growing investor interest in politically branded digital assets.
ALT5 Sigma Faces Insider Trading Claims
World Liberty’s treasury partner ALT5 Sigma confronts allegations of insider trading connected to its $1.5 billion funding round. The firm completed a registered direct offering under SEC registration on August 8, with prospectus details filed on August 11.
Media reports linked venture capitalist Jon Isaac to a potential SEC investigation regarding ALT5 leadership activities. Both ALT5 Sigma and Isaac denied the allegations. “The company does not know about any current investigation regarding its activities by the US SEC,” ALT5 stated. Isaac clarified he had never served as president or advisor, though he maintained significant shareholdings exceeding one million shares.
Isaac leads Nasdaq-listed Live Ventures and signed consulting contracts with ALT5 Sigma in 2024. His involvement included strategic contributions to product development, restructuring, and client acquisition through a $540,000 convertible note. Disclosures mentioning Isaac’s name in earnings reports and share transactions drew regulatory attention to the $1.5 billion offering supporting USD1 reserves.
Eric Trump joined ALT5 Sigma’s board, strengthening connections between the Trump family and the crypto venture. The deal highlights institutional interest in digital asset treasury strategies.
World Liberty continues advancing its cryptocurrency expansion despite regulatory scrutiny. The project balances aggressive growth with investor confidence as it prepares major exchange listings over the next two months. Success depends on maintaining political brand appeal while addressing compliance concerns in the evolving stablecoin market.
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