Why stablecoins are making a comeback in the US
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Homepage > News > Finance > Why stablecoins are making a comeback in the US The conversation and activity around stablecoins is picking up again. What began as three subtle mentions in the first executive order about cryptocurrency signed by President Donald Trump has rapidly evolved. The most recent development is that Trump’s own crypto venture, World Liberty Financial, announced the launch of its own stablecoin, USD1, on both Ethereum and Binance Chain, with plans to expand to more protocols. Meet USD1 — the stablecoin your portfolio’s been waiting for. Built for institutions and retail alike. Backed by dollars. Custodied by BitGo.No games. No gimmicks. Just real stability.https://t.co/vXPbZe0GPn — WLFI (@worldlibertyfi) March 25, 2025 World Liberty Financial says USD1 will be redeemable 1:1 for the U.S. dollar and backed 100% by short-term U.S. government treasuries, U.S. dollar deposits, and other cash equivalents—but that’s not the real story. The real story is that stablecoins are once again becoming a centerpiece in conversations from both the White House and crypto corporations. So the real question is, what’s behind this renewed interest? Stablecoins: An old tool with new momentum Stablecoins are benefitting from growing tailwinds that, I’d argue, are being pushed down from the White House, and in line with the White House’s pro-corporation approach to the economy, it’s the crypto corporations offering stablecoins that stand to benefit the most. As a quick refresher, stablecoins are a type of cryptocurrency designed to maintain a stable value, usually pegged to a fiat currency like the U.S. dollar. What gives them that stability is the reserves backing them, which are typically a mix of cash, U.S. government bonds, and other low-risk assets. The idea is that for every stablecoin in circulation, there’s an equivalent value in reserve. But here’s where it gets interesting, at least…
Filed under: News - @ March 31, 2025 5:56 am