Home Altcoins News TRON Starts Minting USD1 Stablecoin Backed by Trump and U.S. Treasuries

TRON Starts Minting USD1 Stablecoin Backed by Trump and U.S. Treasuries

TRON Stablecoin

The TRON blockchain has taken a major step toward deepening its institutional relevance with the official minting of the USD1 stablecoin. Developed by World Liberty Financial (WLFI), the new digital asset is fully backed by U.S. dollar reserves, short-term Treasury bills, and other cash equivalents, and aims to provide a secure alternative for institutional-grade stablecoin transactions.

Minting began early on June 11, marking the first time USD1 has entered circulation. The milestone was publicly noted by TRON founder Justin Sun, who took to X (formerly Twitter) to confirm the news and highlight the strategic collaboration between TRON and WLFI.

TRON DAO, the decentralized autonomous organization governing the TRON blockchain, stated that this development is not just a technical upgrade—it’s a foundational leap for stablecoin use cases in global finance. USD1’s presence on TRON signals a strengthening of both networks’ ambitions: to provide transparent, secure, and scalable blockchain infrastructure for next-generation financial solutions.

A Stablecoin Backed by U.S. Treasury Assets

USD1 is not just another dollar-pegged token. It is fully collateralized by short-term U.S. Treasury instruments, actual cash reserves, and dollar-equivalent holdings. This backing offers a strong degree of transparency and institutional trust—something that’s been lacking in some stablecoins that have come under regulatory scrutiny for ambiguous reserve practices.

According to WLFI, this backing structure is designed to meet the expectations of both regulators and large-scale investors. The decision to mint the asset on TRON was driven by the network’s established presence as a top blockchain for stablecoin circulation. TRON currently leads in Tether (USDT) volume, with more than $78 billion in circulation on its network.

Trump Organization’s Role and the Binance Link

One of the most attention-grabbing aspects of USD1 is its affiliation with high-profile political and business figures. Eric Trump, executive vice president of the Trump Organization and co-founder of WLFI, confirmed in May that USD1 would be used to settle a $2 billion investment by MGX into Binance. That deal marked one of the first institutional transactions of such scale to be settled using a freshly introduced stablecoin.

The choice to use USD1 for this transaction was disclosed during Token2049 in Dubai and signaled an ambitious move by WLFI to place USD1 at the center of global crypto infrastructure. This is not just about a stablecoin being minted—it’s about a new entrant trying to reshape how large-scale transactions are handled in the crypto space.

TRON founder Justin Sun praised the initiative, stating that this collaboration represents a push toward redefining how we view money and economic freedom in a decentralized world. He also lauded the Trump Organization’s involvement in shaping a regulatory environment that supports blockchain innovation.

Institutional Confidence in TRON Strengthens

The successful minting of USD1 adds to TRON’s growing track record of institutional appeal. With over 312 million registered user accounts, more than 10 billion total transactions, and over $22 billion in total value locked (TVL) as of May 2025, TRON continues to be a major hub for decentralized finance.

TRON’s architecture—known for its low transaction costs, fast confirmation times, and scalable infrastructure—makes it an ideal environment for a stablecoin like USD1, which targets high-volume and enterprise-grade applications.

WLFI’s decision to start on TRON indicates a growing belief in the blockchain’s ability to support regulated and transparent financial instruments. By aligning itself with a blockchain that already processes billions in daily stablecoin volume, USD1 gets instant market credibility and network utility.

What This Means for the Future of Crypto Finance

Stablecoins are a critical component of the crypto economy, offering price stability and a reliable bridge between traditional finance and digital assets. However, their broader adoption has often been hampered by concerns over transparency, regulatory compliance, and scalability.

USD1, by virtue of being fully backed and institutionally aligned, may be the type of product that helps bridge this gap. The coin’s early use in billion-dollar deals and its connection to well-known business figures underscore a potential pivot point in crypto finance—where stablecoins aren’t just tools for retail traders but legitimate instruments for global finance.

As global markets look for reliable on-chain dollar representations, the emergence of USD1 adds another competitor to the growing list of asset-backed stablecoins. What makes USD1 unique is not just its backing, but the infrastructure and narrative surrounding it. Its minting on TRON, a blockchain with deep roots in DeFi, creates a high-visibility runway for more institutional integration in the near future.

Final Thoughts

TRON’s minting of the USD1 stablecoin is more than just a technical milestone—it’s a sign of shifting tides in the stablecoin sector. By bringing together political capital, institutional backing, and a robust blockchain network, USD1 may help define the next phase of digital asset adoption.

With the world watching how stablecoins evolve in a regulatory climate that’s becoming more defined, TRON’s latest move could pave the way for increased trust and utility in digital finance. As more institutions test blockchain waters, USD1 may become a key fixture in how large-scale deals are settled in the years ahead.

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Evie Vavasseur

Evie is a blogger by choice. She loves to discover the world around her. She likes to share her discoveries, experiences and express herself through her blogs.

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