World Liberty Financial’s USD1 Stablecoin Reaches a $5 billion Market Capitalisation
World Liberty Financial (WLFI) announced that its USD‑pegged stablecoin, USD1, has surpassed a market capitalisation of $5 billion. The milestone positions USD1 as the fifth‑largest stablecoin by market cap. The token’s closing price on 29 January 2026 was $0.153701, a value that sits within its 52‑week range of $0.0915166 to $0.460044.
Institutional Adoption and Political Endorsement
The increase in market cap has been attributed to a surge in institutional adoption. Donald Trump Jr., co‑founder of the company, publicly praised the stablecoin, citing a “Built‑in‑America” philosophy. Additionally, Trump‑backed company ALT5 Sigma authorised a $100 million stock buyback programme and a $15 million purchase of USD1 tokens, signalling confidence in the token’s long‑term viability.
Market Dynamics
The stablecoin’s price movement has been noted by several industry outlets. Crypto‑panning sites reported the $5 billion valuation at 10:38 UTC on 29 January. Decrypt highlighted that Trump supporters had invested $550 million in WLFI tokens, although trading restrictions limited liquidity. The token’s performance is set against a backdrop of mixed sentiment for other digital assets: Bitcoin remains largely flat, while gold and silver have declined.
Regulatory Context
Recent developments in U.S. crypto regulation have been viewed as positive for the industry. The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) have advanced regulatory frameworks that could benefit stablecoins. Meanwhile, the Federal Reserve’s choice of a former Trump adviser, Kevin Warsh, as a crypto‑policy consultant has attracted scrutiny, though Warsh maintains a supportive stance on central bank digital currencies (CBDCs).
Strategic Implications for World Liberty Financial
The $5 billion market cap signals strong market confidence in World Liberty Financial’s tokenomics and governance. The company’s partnership with ALT5 Sigma and backing from prominent political figures may enhance its credibility among institutional investors. Continued regulatory clarity and stable institutional demand will likely determine the token’s long‑term trajectory.
