Fidelity Investments and World Liberty Financial, the decentralised finance project (DeFi) backed by the Trump family, announced the launch of two new stablecoins.
Two significant pieces of news regarding stablecoins have recently garnered attention in the crypto market. The first involves Fidelity Investments, one of America’s leading investment firms and an issuer of Bitcoin spot ETFs.
The second stablecoin is USD1, promoted by World Liberty Financial (WLFI), a decentralised finance (DeFi) project backed by former US President Donald Trump. Read on to learn more about these two new stablecoins in the crypto market!
Fidelity Investments prepares to launch a stablecoin
Fidelity Investments, a leading global asset manager, is set to launch its stablecoin, which is expected to be released by the end of May 2025. The Boston-based investment firm aims to create its version of digital cash, following its exploration of the cryptocurrency sector with the introduction of spot ETFs for Bitcoin and Ethereum in 2024.
The upcoming stablecoin is part of Fidelity’s recent proposal to the U.S. Securities and Exchange Commission (SEC) to introduce a tokenised version of its Treasury Digital Fund. This fund comprises cash and U.S. treasuries (government bonds) and is only available to institutional investors and hedge funds.
This initiative may have been influenced by Donald Trump’s election, which marked a shift in the previous administration’s stance toward cryptocurrency. Since the early stages of his election campaign, Trump has promoted pro-cryptocurrency policies and supported the growth of stablecoins.
World Liberty Financial introduced USD1
To illustrate our earlier point about Donald Trump’s support for stablecoins, we present recent news about World Liberty Financial. The Trump family’s DeFi project has launched USD1, a stablecoin.
This stablecoin, similar to the fund Fidelity plans to introduce to blockchain through tokenisation, will be fully backed by U.S. Treasury bonds, cash, or equivalent assets. Not much is known about USD1 except for the blockchains on which it will initially be available: Ethereum and the Binance Smart Chain, which is compatible with EVM.
In summary, recent developments in the cryptocurrency world reveal that Fidelity Investments has decided to launch its stablecoin in preparation for the public release of its Treasury Digital Fund. This product falls into the Real World Asset (RWA) category and has great potential to drive increased crypto adoption.
President Donald Trump has also shown a growing interest in cryptocurrencies and has actively promoted initiatives to position the United States as a leader in this sector. The establishment of World Liberty Financial and the launch of USD1 are concrete examples of this commitment.
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