World Liberty Financial (WLFI), the high-profile crypto venture associated with U.S. President Donald Trump, has opened community voting on a proposal to airdrop its USD1 stablecoin to existing WLFI token holders. The vote, hosted on Snapshot, serves as a live test of the project’s onchain distribution infrastructure and as a symbolic gesture of appreciation to early supporters.
The proposed initiative would distribute a “small amount” of USD1 to every wallet holding WLFI tokens. While specific amounts and timelines remain unconfirmed, WLFI said this rollout will serve as a critical stress test for its smart contract functionality prior to broader utility launches.
“Testing the airdrop mechanism in a live setting is a necessary step to ensure smart contract functionality and readiness,” the team wrote in its latest governance post.
“This distribution also serves as a meaningful way to thank our earliest supporters and introduce them to USD1.”
Community response has been overwhelmingly positive. Within eight hours of the vote opening, more than 2.6 billion votes—representing 99.97% of the total—were cast in favor of the proposal. The vote remains active through May 14, with final implementation still subject to project discretion. WLFI emphasized that it retains full authority to modify, postpone, or cancel the rollout depending on technical or strategic factors.
Since launching in September 2024, WLFI has raised $550 million across two public sales and has grown into one of the most visible crypto projects linked to a U.S. political figure.
USD1 Adoption Accelerates with $2B Binance Deal and Global Expansion
WLFI’s USD1 stablecoin continues to gain traction globally. At Token2049 in Dubai, Abu Dhabi-based investment firm MGX announced it would use USD1 to settle a $2 billion deal with Binance—a milestone that underscores the stablecoin’s potential in cross-border financial infrastructure.
This partnership represents the largest USD1 transaction to date, expanding the coin’s legitimacy in decentralized finance (DeFi) and institutional use cases. WLFI has positioned the airdrop vote as part of a broader roadmap designed to elevate USD1’s adoption, infrastructure resilience, and brand awareness.
USD1, launched in March 2025, is a fiat-backed stablecoin reportedly supported by U.S. Treasuries and USD deposits held in custody with BitGo.
Political Backlash Mounts Over Trump’s Crypto Involvement
Despite USD1’s rapid growth, WLFI’s close association with President Trump has intensified scrutiny in Washington. On Tuesday, House Democrats staged a walkout during a key crypto regulation hearing, protesting what they described as “unprecedented conflicts of interest” stemming from Trump’s personal involvement in digital assets.
Later that day, Senator Richard Blumenthal (D-CT) issued a formal inquiry to WLFI co-founder Zach Witkoff, raising constitutional and national security concerns. His letter cited the Trump family’s prominent branding in the project and questioned how WLFI intends to mitigate potential violations of the Constitution’s foreign emoluments clause.
The WLFI website publicly identifies Donald Trump as “chief crypto advocate,” while also featuring Eric, Donald Jr., and Barron Trump as project participants. However, the project’s whitepaper claims the family holds no operational control or ownership—an inconsistency that has raised alarms among ethics watchdogs.
As USD1 gains wider adoption, the political controversy surrounding its leadership could cast a longer shadow over its regulatory future. WLFI has not yet responded to the letter publicly.
Quick Facts
- Governance Vote: WLFI’s airdrop proposal for its USD1 stablecoin is open until May 14 and currently holds 99.97% approval.
- USD1 Stablecoin: Launched in March 2025, backed by U.S. Treasuries and USD deposits, with BitGo serving as the custodian.
- Market Growth: USD1’s market cap has surged from $128 million to over $2 billion within two months.
- DeFi Integration: USD1 is now integrated with ListaDAO on BNB Chain, enabling lending, borrowing, and yield opportunities.
