World Liberty Financial, the Trump-backed crypto firm behind the fast-growing USD1 stablecoin, is preparing to publish its first third-party audit and roll out a dedicated mobile app aimed at bringing stablecoin access to mainstream users.
The developments were announced by WLF co-founder Zak Folkman during the Permissionless conference in Brooklyn, New York, where he revealed new transparency and product initiatives that signal the company’s growing ambitions in the global stablecoin market.
According to Folkman, the upcoming audit will verify that USD1 is fully backed by $2.2 billion in reserves, consisting of U.S. dollar deposits, Treasury bills, and other cash equivalents. The stablecoin, launched in March 2025, has already amassed a multibillion-dollar market cap and is issued across Ethereum, BNB Chain, and TRON, with BitGo serving as its official custodian.
The long-awaited attestation report, expected within weeks, is aimed at silencing critics who have questioned the financial underpinnings of USD1 - particularly given WLF’s close political associations. While WLF has regularly shared reserve summaries, the upcoming audit will be its first full independent review, a critical step for any issuer seeking broader institutional legitimacy.
“We’re going to have very transparent auditing from a financial level,” said Folkman. “Our goal is not just to show the assets exist, but to show we’re setting a new standard for how stablecoin firms engage with the public and regulators.” Folkman added that monthly reserve reports will be published going forward, aligning WLF with best practices adopted by leading stablecoin issuers such as Circle and Tether.
USD1 Grows Rapidly Despite Political Controversy
Since its launch earlier this year, USD1 has quickly emerged as a top-10 stablecoin by market capitalization, driven by a combination of airdrops, promotional partnerships, and integrations across trading platforms. The coin’s success comes despite - or perhaps partly because of - its high-profile political backing from former U.S. President Donald Trump, who holds an undisclosed equity stake in WLF.
According to on-chain data shared by Folkman, the USD1 token has reached over 85,000 wallets, with a notable jump following a recent $4 million airdrop campaign targeting crypto newcomers.
WLF has also drawn attention for its role in facilitating a $2 billion investment from UAE-based private equity firm MGX Capital into Binance. USD1 was used as the primary settlement asset in the deal, showcasing how the stablecoin is already being utilized in high-stakes global financial flows.
As part of its effort to broaden adoption, WLF is also preparing to launch a mobile wallet and crypto app designed to simplify access to stablecoins and governance functions for average users. The app, which will support USD1 transactions alongside wallet management and staking features, is expected to be released in beta in Q3 2025.
“We’re building something that makes it easy for anyone to get into stablecoins - especially people who don’t want to deal with complicated wallets or DeFi protocols,” said Folkman. “Our app will be for the everyday user who wants a simple, stable, crypto-native alternative to cash.”
The app will also eventually support WLFI, WLF’s governance token, which Folkman said could soon become tradable on centralized and decentralized exchanges. Though WLFI is currently unlisted, it already allows holders to vote on protocol upgrades, reserve policies, and ecosystem development grants.
Governance Token WLFI in Focus
Folkman declined to confirm a timeline for a public listing of WLFI but emphasized that community governance would be a central pillar of WLF’s long-term strategy. “We’re not here to just replicate what USDC or USDT are doing. We want WLFI holders to steer the direction of the protocol - and that includes key decisions like chain expansions, partnership grants, and even reserve asset preferences.”
WLFI is currently distributed through community incentives and staking pools, but Folkman said WLF is exploring integrations with Layer 2 ecosystems and modular chains to bring additional functionality and yield opportunities to token holders.
The potential listing of WLFI could add a new dimension to WLF’s offering, opening it up to speculative capital flows while also subjecting it to market-based governance feedback.
WLF’s ties to Trump have drawn sharp criticism from ethics watchdogs, financial transparency advocates, and some U.S. lawmakers, who argue that the former president’s involvement in a financial asset with regulatory implications represents a conflict of interest. In May, several House Democrats called for an investigation into WLF’s governance structure and potential influence over digital currency policy.
Despite the political tension, market adoption of USD1 has continued to grow, particularly in offshore markets, crypto-native communities, and politically conservative U.S. user bases. The coin’s alignment with a populist political figure appears to have helped it carve out a niche audience, even as major competitors remain dominant in terms of volume and infrastructure integrations.
Stablecoin Regulation on the Horizon
The timing of WLF’s transparency push coincides with increasing regulatory scrutiny over U.S.-linked stablecoins. The proposed Stablecoin Transparency and Regulation Act, currently being considered in the U.S. Senate, would require all stablecoin issuers to publish monthly audits, maintain clear reserve disclosures, and register with federal oversight bodies.
While WLF is not yet directly subject to such regulation, industry observers note that early adoption of similar standards could give it an edge in future compliance.
“WLF is clearly preparing for the day when U.S. regulators step in more forcefully,” said one regulatory analyst. “Publishing a full audit and aligning with MiCA-like standards may help them stay ahead of the curve, especially if WLFI is ever classified as a security or USD1 faces scrutiny as a payments instrument.”
Folkman suggested that WLF is already exploring future integrations with other major chains, including Base, Arbitrum, and TON, and is in discussions with third-party platforms for cross-chain stablecoin swaps and lending market partnerships.
He also hinted at WLF’s interest in launching fiat off-ramps, direct bank integrations, and merchant settlement tools as part of its roadmap for the second half of 2025.
As the regulatory environment heats up and competition in the stablecoin market intensifies, WLF appears determined to position USD1 as a politically distinct yet technically credible alternative to incumbents like USDT and USDC.