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Trump’s USD1 Stablecoin Eyes Trust Recovery in Crypto

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Trump made headlines again last week after World Liberty Financial announced the launch of USD1, its very own stablecoin. However, much anticipation surrounds just how successful the project will be. The launch of Trump’s meme coin at the beginning of the year resulted in billions of dollars in losses. Retail investors, in particular, have learned to be more cautious with Trump-backed endeavors. 

BeInCrypto spoke with nine industry experts to learn more about USD1 and what it needs to restore public confidence in investors disappointed by Trump’s previous crypto ventures. These representatives unanimously agreed that USD1’s success hinges on transparency, proper utility, and a distinct advantage over well-established competitors.

USD1’s Promise and Trump’s Crypto History

Last week, World Liberty Financial (WLF), a token project heavily affiliated with the Trump family, officially acknowledged that it had launched USD1, its very own stablecoin. To a certain degree, the announcement was unsurprising.

During the Digital Assets Summit the White House held at the beginning of March, Treasury Secretary Scott Bessent said that the Trump administration would use stablecoins to preserve the US dollar’s role as the world’s strongest reserve currency.

USD1 aims to do exactly this. The stablecoin will be pegged to the US dollar and supported by a reserve comprised of short-term US Treasury securities, dollar deposits, and other highly liquid assets.

“Trump is not simply issuing his stablecoin. He is legitimizing stablecoins in general to support the US dollar. If you go through his stablecoin legislation, it is essentially about increasing the dollarization by making the US dollar easier and safer to use and selling more dollars in the process. Every USD stablecoin in circulation means USD-denominated asset in a bank somewhere. Not in CNY or any other currency,” Tae Oh, Founder of Creditcoin, told BeInCrypto.

But Trump’s track record in crypto has been polluted by heavy losses for retail investors and reiterated accusations of conflicts of interest. While some welcome the idea of a sitting president backing the launch of a new stablecoin, others say that it sparks further cause for trouble.

Can USD1 Redeem Trump’s Crypto Reputation?

The crypto market went berzerk when Trump launched his meme coin two days before assuming office. Within a day of trading, the token reached a market capitalization of over $14.5 billion. 

But, since that moment, the meme coin has been in freefall, tainted by constant volatility and evidence of insider trading. According to Chainalysis, while early buyers were able to cash out $6.6 billion in profits, smaller traders have experienced collective losses of over $2 billion. 

TRUMP meme coin market capitalization since January launch.
TRUMP meme coin market capitalization since January launch. Source: CoinGecko

Meanwhile, the Trump family has made nearly $100 million from trading fees alone. 

WLF, the President’s decentralized finance (DeFi) experiment, largely failed to restore confidence in Trump-backed crypto projects. Reports quickly unveiled that the Trump family holds a 75% stake in the platform’s net revenue and a 60% stake in the holding company. 

Applying these percentages to WLF’s most recent token sale, Trump would have earned $400 million in revenue.

Now, WLF has launched USD1. Unlike meme coins, stablecoins offer investors a much higher degree of stability. Some industry leaders believe this could be Trump’s opportunity to redeem himself, while others remain doubtful. S, the pseudonymous community lead behind NEIRO, summarized it cleanly:

“If USD1 is structured well and managed transparently, it could help regain confidence, especially among newer users. But it won’t erase the impact of previous rug pulls and hype-driven projects. That healing process takes time and accountability,” he said, adding that “Authentic community engagement is now essential—it’s not enough to slap a famous name on a token.”

At the same time, the meme coin’s turbulent journey revealed Trump’s capacity to introduce newcomers to crypto, a lesson potentially applicable to USD1’s launch

Trump’s Meme Coin Impact on New Investors

TRUMP’s initial $14.5 billion market capitalization set the highest benchmark achieved by a meme coin backed by a public figure. Aside from that, according to a survey by NFTvening, 42% of TRUMP meme coin buyers were first-time crypto investors.

In other words, Trump’s meme coin project did wonders in exposing outsider investors to the cryptocurrency market. According to Oh, the same can be done with USD1– at least initially.

“The association with Trump is the strongest branding you can get in the current market. However, at the end of Trump’s term, the project needs to become disassociated from the President and more politically neutral,” he said.

Oh also added that Trump’s frequent project launches have demonstrated similarities. Though they haven’t necessarily filled a gap in the market, they have managed to onboard new users.

“I think Trump is showing us a pattern. He is legitimizing various types of cryptocurrency by issuing them himself or through his affiliate organizations. He started with memecoin and now on fiat-backed stablecoin. Is adoption the main objective of the projects? We shall see,” Oh said.

For Anthony Anzalone, CEO of XION, a Trump-backed stablecoin could create pathways for sustainable adoption compared to any meme coin.

“In the specific context of a stablecoin, Trump’s association likely provides advantages rather than disadvantages. Unlike speculative tokens, where celebrity involvement often signals short-term marketing over substance, stablecoins derive their value from stability, regulatory compliance, and institutional adoption – areas where political connections potentially confer meaningful benefits. The technical requirements and operational challenges of stablecoins are significantly different from speculative tokens, making this a more suitable venture for political backing,” Anzalone told BeInCrypto. 

However, market adoption won’t exclusively hinge on presidential backing.

Will Trump’s Name Help or Hurt USD1 Adoption?

While a Trump-endorsed stablecoin could greatly increase USD1 adoption, it could also have the opposite effect. 

“Trump’s polarizing presence could create skepticism, especially among those wary of political influence in financial products. While his involvement might appeal to his supporters, it risks alienating a broad portion of the market,” said Cathy Yoon, General Counsel at the Wormhole Foundation.

This risk is especially true when applied to users who believe that Trump has entered the crypto space exclusively for profit. 

“Trump’s main motivation is making money from this venture, so his involvement is certainly more likely to be a downside than an advantage. You know he’ll try everything to suck as much profit out of this venture as possible, and it could be at the expense of the end user,” Jean Rausis, Co-founder of SMARDEX, told BeInCrypto. 

The fact that WLF, a Trump-backed project associated with several conflicts of interest, launched USD1 does little to assuage skeptics about future risks. 

Conflicts of Interest and USD1 Transparency

Trump failed to prevent similar accusations of conflicts of interest by directly associating himself with the USD1 launch through WLF. 

“A conflict of interest arises when the current US President is also a key figure in World Liberty Financial. He will be closely monitored and face regulatory hurdles to ensure there is no manipulation of the financial system, but this alone could deter investors when there are highly competitive and much more mature products in that market,” Vivien Lin, Chief Product Officer at BingX, told BeInCrypto.

Suppose Trump wants to distance himself from the criticism his previous projects received. In that case, he will have to ensure that USD1 adheres to transparency mechanisms and regular audits—not only for public trust but also to ensure that the sitting President doesn’t break the law. 

“Transparency should be at the forefront of all communications, especially with Trump’s involvement as the US President and stakeholder in World Liberty Financial. This situation could violate the Constitution’s emoluments clause, which broadly refers to any advantage, profit, or gain received due to holding office. If violated, this could significantly hurt the public’s trust. Another aspect that should be considered is establishing safeguards against potential market manipulation, especially given WLFI’s history of large crypto purchases before important events to prevent market manipulation,” Lin added.

USD1’s success will also largely depend on its execution.

USD1’s Path in a Competitive Market

Stablecoins have existed since 2014 and are finding a permanent home in the broader market. According to the World Economic Forum, the current supply of stablecoins in circulation exceeds $208 billion.

Average supply of stablecoins in circulation.
Average supply of stablecoins in circulation. Source: World Economic Forum.

With a market capitalization approaching $144 billion, Tether (USDT) is today’s most dominant stablecoin. In second place comes Circle’s USDC, with a market capitalization of over $60 billion. Driven by their dollar peg and perceived inflation hedge, stablecoins have become highly popular, prompting increased stablecoin launches from banks and tech firms.

“The more we see responsible innovation that includes utility use cases– such as prudentially regulated stablecoins for global payment processing – the more crypto’s reputation will solidify and credibility will grow. I don’t think we need to rely or wait for one product such as USD1. The momentum has been building and will continue,” Beth Haddock, Global Policy Lead at Stablecoin Standard, told BeInCrypto.

USD1 must set itself apart to succeed in an already cutthroat market. 

“If USD1 lacks interoperability, has limited on/off-ramps, or fails to differentiate from incumbents like USDC or USDT, it risks being relegated to a niche use case. Ultimately, mainstream success will come down to execution, partnerships, and solving real user pain points—especially in markets where traditional financial access is limited or inefficient,” said Mouloukou Sanoh, CEO of MANSA.

According to Martins Benkitis, CEO of Gravity Team, catering to niche markets isn’t a bad idea. But in an already competitive field, it might not be enough.

“If it becomes a gateway for on-chain political donations or movement-aligned payments, it’s filling a niche. The question is whether that niche is big enough to sustain a stablecoin. Jury’s still out, but it’s an angle,” he said.

Inevitably, providing some utility that is not currently available will factor into USD1’s eventual success.

What Utility Will USD1 Offer?

What USD1 can offer the market boils down to what Trump has in store. Several details regarding its launch have yet to be released. 

Nonetheless, if executed properly, the stablecoin has the potential to offer a degree of stability and predictability that TRUMP’s meme coin was unable to deliver. It could also give the President the golden opportunity to restore the trust that he lost from his previous crypto ventures. 

If this is among Trump’s matters of concern for USD1, he will have to prioritize factors like transparency, security, and clear utility. These will be the aspects the public will be looking out for.

Disclaimer

Following the Trust Project guidelines, this feature article presents opinions and perspectives from industry experts or individuals. BeInCrypto is dedicated to transparent reporting, but the views expressed in this article do not necessarily reflect those of BeInCrypto or its staff. Readers should verify information independently and consult with a professional before making decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



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Report Alleges Massive Meme Coin Sniping on Pump.fun

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According to a new report from Pine Analytics, token deployers on Pump.fun systematically funded sniper wallets to buy their own meme coins. This impacted over 15,000 token launches on the platform.

These sniper wallets operated primarily during US trading hours, executing standardized, profitable strategies. Unrelated bot activity obscures their behavior, making it extremely difficult to isolate these wallets—and they can readily adapt to new countermeasures.

Snipers Roam Free on Pump.fun Meme Coins

Pump.fun has remained one of the most popular meme coin launchpads on Solana despite persistent controversies and other criticism.

However, Pine Analytics’ new report has uncovered a new controversy, discovering systematic market manipulation on the platform. These snipes include as much as 1.75% of all launch activity on Pump.fun.

“Our analysis reveals that this tactic is not rare or fringe — over the past month alone, more than 15,000 SOL in realized profit was extracted through this method, across 15,000+ launches involving 4,600+ sniper wallets and 10,400+ deployers. These wallets demonstrate unusually high success rates (87% of snipes were profitable), clean exits, and structured operational patterns,” it claimed.

Solana meme coin deployers on Pump.fun follow a consistent pattern. They fund one or more sniper wallets and grant them advance notice of upcoming token launches.

Those wallets purchase tokens in the very first block and then liquidate almost immediately—85% within five minutes and 90% in just one or two swap events.

pump.fun snipers
Figure: Pump.Fun Sniper Wallet Profits. Source: X/Pine Analytics

Pump.fun meme coin developers exploit this tactic to create the appearance of immediate demand for their tokens. Retail investors, unaware of the prior sell‑off, often purchase these tokens after the snipe, giving developers an unfair advantage. This constitutes market manipulation and erodes trust in the platform.

Pine Analytics had to carefully calibrate its methods to identify genuine snipers. Apparently, 50% of meme coin launches on Pump.fun involve sniping, but most of this is probably bots using the “spray and pray” method.

However, by filtering out snipers with no direct links to developer wallets, the firm missed projects that covered their tracks through proxies and burners.

In other words, the meme coin community does not have adequate defenses against systematic abuse on Pump.fun. There are a few possible ways that the platform could flag repeat offenders and sketchy projects, but adaptive countermeasures could defeat them. This problem demands persistent and proactive action.

Unfortunately, it may be difficult to enact such policies. Meme coin sniping is so systematic that Pump.fun could only fight it with real commitment.

Analysts think that building an on-chain culture that rewards transparency over extraction is the best long-term solution. A shift like that would be truly seismic, and the meme coin sector might not survive it.

Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



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Solana Leads Blockchain Metrics as SOL Momentum Builds

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Solana (SOL) continues to show strength across multiple fronts, maintaining a bullish structure on its Ichimoku Cloud chart while gaining momentum in key market metrics. The BBTrend indicator has turned higher again, signaling renewed buying pressure after a brief cooldown.

On-chain activity remains strong, with Solana leading all blockchains in DEX volume and dominating fee generation thanks to the explosive growth of meme coins and launchpad activity. With SOL now trading above a key resistance level, the path is open for further upside—though a loss of momentum could still trigger a retest of lower supports.

Solana Maintains Bullish Structure, but Momentum Faces Key Test

On Solana’s Ichimoku Cloud chart, the price is currently above the Kijun-sen (red base line) but has dipped below the Tenkan-sen (blue conversion line), signaling weakening short-term momentum.

The flattening Tenkan-sen and price behavior suggest possible consolidation or the early stages of a pullback. Still, with the price holding above the Kijun-sen, medium-term support remains intact.

SOL Ichimoku Cloud. Source: TradingView.

The overall Ichimoku structure remains bullish, with a thick, rising cloud and leading span A well above span B—indicating strong underlying support.

If Solana finds support at the Kijun-sen and climbs back above the Tenkan-sen, the uptrend could regain strength; otherwise, a test of the cloud’s upper boundary may follow.

SOL BBTrend.
SOL BBTrend. Source: TradingView.

Meanwhile, Solana’s BBTrend is currently at 6, extending nearly ten days in positive territory after peaking at 17.5 on April 14. The recent increase from 4.26 to 6 suggests renewed bullish momentum following a brief cooldown.

BBTrend, or Bollinger Band Trend, tracks the strength of price movement based on Bollinger Band expansion.

Positive values like the current one point to an active uptrend, and if the BBTrend continues to rise, it could signal stronger momentum and potential for another upward move.

Solana Dominates DEX Volume and Fee Generation as Meme Coins Drive Ecosystem Growth

Solana has once again claimed the top spot among all chains in DEX volume, recording $15.15 billion over the past seven days. The combined total of Ethereum, BNB, Base, and Arbitrum reached $22.7 billion.

DEX Volume by Chain.
DEX Volume by Chain. Source: DeFiLlama.

In the last 24 hours alone, Solana saw $1.67 billion in volume, largely fueled by its booming meme coin ecosystem and the ongoing launchpad battle between PumpFun and Raydium. Adding to this good momentum, Solana recently surpassed Ethereum in Staking Market Cap.

Protocols and Chains Fees.
Protocols and Chains Fees. Source: DeFiLlama.

When it comes to application fees, Solana’s momentum is just as clear. Four of the top ten fee-generating apps over the past week—PumpFun, Jupiter, Jito, and Meteora—are Solana-focused.

Pump leads the pack with nearly $18 million in fees alone.

Solana Breaks Key Resistance as Uptrend Targets Higher Levels, but Risks Remain

Solana has finally broken above its key resistance at $136, flipping it into a new support level that was successfully tested just yesterday.

Its EMA lines remain aligned in a bullish setup, suggesting the uptrend is still intact.

If this momentum continues, SOL price could aim for the next resistance zones at $147 and $152—levels that, if breached, open the door to a potential move toward $179.

SOL Price Analysis.
SOL Price Analysis. Source: TradingView.

The current structure favors buyers, with higher lows and strong support reinforcing the trend.

However, if momentum fades, a retest of the $136 support is likely.

A breakdown below that level could shift sentiment, exposing Solana to deeper pullbacks toward $124 and even $112.

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



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Crypto Firms Donated $85 million in Trump’s Inauguration

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According to a new report, 15 firms and individuals from the crypto industry donated more than $100,000 to President Trump’s Inauguration, totaling over $85 million.

Almost all of these companies apparently received direct or indirect benefits from Trump’s administration. This includes dropped legal proceedings, lucrative business partnerships, participation in Trump’s Crypto Summit, and more.

Crypto Industry Went All-In on Trump’s Inauguration

Since promising to bring friendlier regulations on the campaign trail, Donald Trump attracted a reputation as the Crypto President.

Trump’s Inauguration festivities included a “Crypto Ball,” and several prominent firms made donations for these events. Today, a report has compiled all crypto-related contributions of over $100,000, revealing some interesting facts.

Crypto Donations For Trump's Inauguration
Crypto Donations For Trump’s Inauguration. Source: Fortune

Since taking office, President Trump and his family have been allegedly involved in prominent crypto controversies, and these donations may be linked to several of them.

For example, eight of the donors, Coinbase, Crypto.com, Uniswap, Yuga Labs, Kraken, Ripple, Robinhood, and Consensys, had SEC investigations or lawsuits against them closed since Trump’s term began.

The commission might have dropped its probe against these companies anyway due to its changing stance on crypto enforcement. However, being in the President’s good books likely helped the process.

Further Alleged Benefits for Donors

In other words, nearly half the firms that made donations to Trump’s Inauguration have seen their legal problems cleared up quickly. This isn’t the only regulation-related benefit they allegedly received.

Circle, for example, recently made an IPO after openly stating that Trump’s Presidency made it possible. Galaxy Digital received SEC approval for a major reorganization, a key step for a NASDAQ listing.

Other donors, such as Crypto.com and ONDO, got more direct financial partnerships with businesses associated with the Trump family.

Previously, Ripple’s CEO, Brad Garlinghouse, anticipated a crypto bull market under Trump. Also, XRP, Solana, and Cardano were all unexpectedly included in the US Crypto Reserve announcement.

All three of these companies made major donations to Trump’s Inauguration.

It seems that most of the firms involved got at least some sort of noticeable benefit from these donations. Donors like Multicoin and Paradigm received invitations to Trump’s Crypto Summit, while much more prominent groups like the Ethereum Foundation got snubbed.

Meanwhile, various industry KOLs and community members have already alleged major corruption in Trump’s crypto connections.

While some allegations might lack substantial proof, the crypto space has changed dramatically under the new administration, for both good and bad.

Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



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