World Liberty Financial Launches Crypto Lending Platform With USD1 Stablecoin

TLDR

• World Liberty Financial, linked to the Trump family, launched World Liberty Markets, a crypto lending platform that lets users borrow and lend digital assets using USD1 stablecoin as collateral
• USD1 stablecoin has grown to $3.4 billion market cap, making it one of the largest dollar-backed stablecoins behind PayPal’s PYUSD
• The platform accepts collateral including Ether, tokenized Bitcoin, USDC, and USDT, with plans to add tokenized real-world assets
• World Liberty applied for a national trust bank charter with the U.S. Office of the Comptroller of the Currency to support USD1 adoption
• The launch comes as DeFi lending activity rebounds, with active loans reaching nearly $41 billion by Q3 2025 according to Galaxy Digital

World Liberty Financial has launched a crypto lending platform called World Liberty Markets. The platform allows users to borrow and lend digital assets using the company’s USD1 stablecoin.

The launch happened on Monday according to Bloomberg. The platform is built around USD1, World Liberty’s dollar-backed stablecoin, and its WLFI governance token.

Users can deposit collateral to borrow or lend on the platform. Accepted collateral includes Ether, tokenized Bitcoin, USD Coin, and Tether.

World Liberty co-founder Zak Folkman told Bloomberg the company plans to add more collateral types. Future options may include tokenized real-world assets.

The company is exploring partnerships with prediction markets, crypto exchanges, and real estate platforms. These partnerships could expand the platform’s reach across different sectors.

USD1 Growth and Banking Plans

USD1 has grown to a market capitalization of $3.4 billion. This makes it one of the largest dollar-backed stablecoins, ranking just behind PayPal’s PYUSD.

World Liberty recently applied for a national trust bank charter. The application was filed with the U.S. Office of the Comptroller of the Currency.

The charter would bring USD1 under federal supervision if approved. World Liberty says the charter would support broader adoption of USD1 for cross-border payments and treasury operations.

Crypto Lending Market Recovery

The lending platform launches as crypto borrowing and lending demand increases. Investors are looking for ways to access liquidity without selling their holdings.

DeFi lending activity has grown in recent years. Active DeFi loans reached nearly $41 billion by the end of Q3 2025 according to Galaxy Digital.

Total crypto lending across centralized and decentralized platforms hit roughly $74 billion. This represents a new all-time high for the sector.

The recovery follows a period of contraction after major failures in previous market cycles. BlockFi and Celsius collapsed due to centralized business models and excessive leverage.

Platform Infrastructure and Leadership

World Liberty Markets is powered by Dolomite. The platform represents World Liberty’s second major product after USD1 launched in March 2025.

Two World Liberty executives, Zachary Folkman and Chase Herro, previously co-founded Dough Finance. That Ethereum-based lending protocol was built on Aave V3 infrastructure and suffered a flash loan hack in 2024.

World Liberty lists Donald Trump and his sons as co-founders. The Trump family earned hundreds of millions from World Liberty Financial and related token sales in the first half of 2025.

According to Reuters, roughly $463 million came from WLFI token sales alone. Total crypto income across Trump-linked ventures exceeded $800 million during that period.

World Liberty states that Trump and his family do not manage day-to-day operations. The company says crypto-native executives run daily operations and its governance structure limits direct family influence.

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