- WLFI’s USD1 stablecoin offers institutional-grade security with BitGo custody and full backing by US dollars and cash equivalents.
- USD1 launches on Ethereum and Binance Smart Chain, with plans to expand, bridging DeFi and traditional finance with transparency.
- WLFI’s crypto investments, including MNT, ETH, and AVAX, face challenges as the firm navigates a $340M portfolio amid market volatility.
WLFI has launched USD1, a stablecoin designed for institutional and retail investors. The digital asset is fully backed by US dollars, short-term treasuries, and other cash equivalents. Custodied by BitGo, it ensures secure storage and regulatory compliance. Unlike algorithmic stablecoins, USD1 offers real stability without complex yield-generating mechanisms.
The stablecoin is initially available on Ethereum and Binance Smart Chain. WLFI plans to expand to other blockchain networks. Each USD1 token maintains a $1 peg, supported by a reserve portfolio audited by third-party firms. The project aims to bridge traditional finance with DeFi by providing a stable and transparent digital dollar.
BitGo Ensures Secure Custody and Liquidity
BitGo, a leader in digital asset security, will custody USD1 reserves. The company supports institutional investors with insured and regulated storage. Moreover, BitGo Prime provides deep liquidity and seamless trading options. This partnership enhances institutional confidence in USD1, ensuring stability and transparency.
Mike Belshe, CEO of BitGo, emphasized security and efficiency in digital assets. He stated that USD1 delivers both, combining deep liquidity with regulated custody. This collaboration strengthens WLFI’s vision of creating a stable, institutional-grade digital currency.
WLFI’s Expanding Crypto Portfolio Faces Market Challenges
Besides launching USD1, WLFI is actively investing in various cryptocurrencies. For $3 million, the project just purchased 3.54 million Mantle Network (MNT) tokens. This expands its portfolio of assets, which already includes Wrapped Bitcoin (WBTC), Avalanche (AVAX), and Ethereum (ETH).
However, despite aggressive investments, WLFI’s portfolio has suffered losses. The company has spent approximately $340 million on crypto acquisitions. Yet, the ongoing market downturn.
