World Liberty Financial Launches into Crypto Lending with USD1 Ecosystem
World Liberty Financial Launches a Crypto Lending Platform
World Liberty Financial, a decentralized finance project associated with American President Donald Trump's family, has entered the crypto lending market, highlighting a renewed interest in on-chain lending as regulatory clarity improves. The new product, named World Liberty Markets, was launched on Monday and allows users to borrow and lend digital assets, according to a Bloomberg report.
The platform is based on USD1, World Liberty's dollar-backed stablecoin, alongside the WLFI governance token. Users can provide collateral including Ether (ETH), a tokenized version of Bitcoin (BTC), and major stablecoins such as USD Coin (USDC) and Tether (USDT). The platform is designed to support both lending and borrowing activities in a unique on-chain market.
World Liberty co-founder Zak Folkman told Bloomberg that additional types of collateral will be added over time, and the company is exploring partnerships with prediction markets, cryptocurrency exchanges, and real estate platforms. World Liberty Financial USD (USD1) has rapidly grown, boasting a market capitalization of $3.4 billion.
The lending launch comes after World Liberty recently submitted an application for a national trust bank charter with the U.S. Office of the Comptroller of the Currency. The company stated that this charter would support broader adoption of USD1, which is already used for cross-border payments and treasury operations.
As digital assets become increasingly integrated into mainstream finance, the demand for crypto lending and borrowing is rising again, with investors seeking new ways to unlock liquidity without selling their assets. This renewed interest coincides with clearer regulatory frameworks and a more mature infrastructure in the industry. Market participants argue that improved transparency and on-chain risk control, along with regulatory oversight, could help prevent collapses similar to previous ones.
