Binance has deepened its ties with President Donald Trump’s crypto ecosystem by expanding support for USD1, the stablecoin issued by World Liberty Financial, a company co-founded by Trump and his sons. The exchange announced a major upgrade on Thursday, adding new fee-free trading pairs and converting all BUSD collateral assets into USD1 at a 1:1 ratio.
The move marks one of Binance’s strongest endorsements yet for USD1, which has rapidly climbed the stablecoin rankings since launching earlier this year.
Binance Integrates USD1 Across Its Ecosystem
According to Binance, fee-free trading pairs for USD1 are now available for ETH, Solana, and BNB, expanding beyond the Bitcoin pair previously supported. The exchange emphasized that converting BUSD reserves entirely into USD1 will “embed the stablecoin deeply into Binance’s updated collateral structure,” effectively making USD1 a core asset across multiple exchange functions.
Zach Witkoff, CEO and co-founder of World Liberty Financial, welcomed the expansion, calling it a key milestone.
“Binance’s expansion of USD1 marks an important moment in WLFI’s effort to make digital US dollar stablecoins available to people everywhere,” Witkoff said.
USD1, launched in March on Ethereum and BNB Chain, is backed by U.S. Treasury bills and has quickly grown into the seventh-largest stablecoin, boasting a market cap of $2.7 billion. Its adoption accelerated earlier this year after Abu Dhabi investment firm MGX used USD1 for a $2 billion investment in Binance.
USD1 Supply Slows Despite Rapid Integration
Despite strong market presence, data from CoinGecko shows no new issuance of USD1 for several months, with supply down slightly from its $3 billion peak in late October. Analysts suggest the issuance pause may be tied to regulatory timing or liquidity consolidation.
Still, Binance’s latest move signals continued institutional confidence in the Trump-aligned stablecoin.
Political Context: Trump Pardoned Binance Founder Seven Weeks Ago
The partnership also unfolds against a politically charged backdrop. President Donald Trump, who co-founded World Liberty Financial, pardoned Binance founder Changpeng Zhao (CZ) just seven weeks ago.
Zhao had received a four-month prison sentence in April 2024 after pleading guilty to failing to implement adequate Anti-Money Laundering controls at Binance. Trump publicly defended the decision, stating that many believed “what he did is not even a crime.”
The timing of the pardon and Binance’s deeper integration of the Trump-linked stablecoin has drawn significant attention across the crypto industry, fueling speculation about the tightening relationship between the exchange and the Trump administration’s crypto strategy.
What This Means for the Stablecoin Market
USD1’s deeper presence on Binance sets the stage for:
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Wider global access through zero-fee trading
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Increased liquidity and collateral usage
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Potential competition against USDT and USDC
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Political-financial convergence influencing crypto adoption
With Binance reshaping its ecosystem around USD1, the Trump-backed stablecoin appears positioned to play a major role in the next phase of stablecoin dominance.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments are volatile and risky. Always conduct your research before making any investment decisions
