World Liberty Fi, a project tied to Donald Trump’s election campaign, has reportedly distributed 47 USD1 as an airdrop reward to a bulk selection of addresses suspected to belong to early WLFI token buyers. This move highlights the growing intersection of crypto, politics, and stablecoin adoption. While the airdrop aims to incentivize supporters, it also raises questions. Specifically, it brings up broader implications for the USD1 stablecoin and the World Liberty Fi ecosystem.
Bulk Distribution of USD1 Sparks Speculation
On-chain data reveals that World Liberty Fi executed a bulk transfer of 47 USD1 to a long list of Ethereum addresses. These addresses likely belong to early WLFI token buyers. Interestingly, some recipients immediately transferred the stablecoin out of their wallets exactly one hour after receiving it.
One notable pattern is that some of these tokens were sent back to an accumulation address holding $5,875 in USD1 coins. Analysts speculate that this could indicate activity from Sybil wallets —multiple accounts controlled by a single entity. Or, it might be a deliberate attempt to boost transaction data and create the appearance of increased usage.
The airdrop was equal to all addresses, at least when accounting for double wallets. Some buyers may actually earn based on a small WLFI purchase. Other wallets retained their USD1, adding it to existing holdings likely accumulated through meme coin trading or decentralized exchange (DEX) activity.
USD1: Rewarding WLFI Supporters
The USD1 airdrop aligns with earlier hints from late May, when a single transaction from the World Liberty Fi wallet sparked speculation about an upcoming distribution. USD1, a stablecoin pegged to the U.S. dollar, was rumored to serve as a reward for WLFI buyers. It potentially covers the purchase costs of smaller investors.
Most WLFI purchases were symbolic, made in support of Donald Trump’s election campaign. Nonetheless, the project also attracted large-scale investors and bulk buyers. The rewards were uniform, ensuring every eligible address received the same amount regardless of their initial investment size.
This distribution increased the total number of USD1 holders on Ethereum to 85,522 wallets, slightly fewer than the 85,868 holders of WLFI. However, WLFI holders are still awaiting a valuation of their tokens. This leaves uncertainty about the project’s future performance.
USD1’s Activity Across Chains
While the airdrop occurred on Ethereum, USD1 remains far more active on the BNB Smart Chain (BSC), where 98.4% of its supply is minted. Ethereum currently holds around $34 million in USD1. Meanwhile, BSC boasts a staggering $2.13 billion supply.
USD1’s liquidity is significantly higher on BSC, with the USDT/USD1 pair offering over $16 million in available liquidity. In contrast, Ethereum-based pairs are much smaller, often involving other stablecoins or meme tokens.
PancakeSwap remains the primary venue for USD1 trading. Moreover, BUILDon (B) emerges as the most active meme token paired with the stablecoin. Despite not being listed on centralized exchanges like Binance, USD1 benefits from strong adoption within the Binance ecosystem. It reports daily trading volumes exceeding $235 million across decentralized and smaller centralized markets.
World Liberty Fi’s $550 Million Fundraising Effort
World Liberty Fi raised a reported $550 million in total sales, though the fund currently holds around $152 million in various coins and tokens. The introduction of USD1 represents a strategic effort to bridge traditional finance with the crypto world. This enables supporters to engage with a stablecoin backed by U.S. dollars.
With USD1, Trump’s fund could have an outsized influence on the crypto market, paving the way for other corporate stablecoins. Meanwhile, Truth Social, another initiative tied to Trump, is exploring a new Bitcoin ETF. This signals a multi-chain strategy aimed at diversifying its blockchain presence.
