coindesk.com
Crypto exchange Binance is expanding the role of $USD1 ($USD1), the stablecoin of Trump-linked crypto project $WLFI$0.1462, overhauling part of its stablecoin infrastructure with the token.
Starting Thursday, the exchange will offer new trading pairs — BNB/$USD1, ETH/$USD1 and SOL/$USD1 — giving users broader access to trade with $WLFI’s dollar-backed stablecoin, according to a press release. It also offers zero-fee exchange between $USD1 and the two largest stablecoins, Circle's USDC and Tether's USDT.
At the same time, Binance will convert all reserves supporting its BUSD-pegged token (B-Token) into $USD1. That process is expected to be completed within seven days. After that, $USD1 will be part of the collateral backing used across Binance’s systems, including in margin trading and other internal liquidity operations.
$USD1 is fully backed by U.S. Treasury bills, cash and equivalents, and is redeemable 1:1 for dollars. It currently has a $2.7 billion market capitalization, ranking sixth among stablecoins, according to RWA.xyz data. The token gained attention after a $2 billion investment in Binance from Abu Dhabi’s MGX was settled in $USD1.
The move follows Donald Trump granting Binance founder Changpeng "CZ" Zhao a pardon in October, a decision that sparked scrutiny over the president's crypto business dealings. Zhao served a four-month prison sentence after pleading guilty in November 2023 to violating the Bank Secrecy Act.