Crypto exchange Binance expands role of USD1 (USD1), stablecoin for Trump-linked crypto project overhaul part of its stablecoin infrastructure with the token.
Starting Thursday, the exchange will offer new trading pairs — BNB/USD1, ETH/USD1 and SOL/USD1 — giving users broader access to trade WLFI’s dollar-backed stablecoin, according to a press release. It also offers fee-free exchange between USD1 and the two largest stablecoins, Circles USDC and Tethers USDT.
At the same time, Binance will convert all reserves backing its BUSD-pegged token (B-Token) to USD1. That process is expected to be completed within seven days. After that, USD1 will be part of the collateral used across Binance’s systems, including in margin trading and other internal liquidity operations.
USD1 is fully backed by US Treasury bills, cash and equivalents, and is redeemable 1:1 for dollars. It currently has a market cap of $2.7 billion, ranking sixth among stablecoins, according to RWA.xyz data. The token gained attention after a $2 billion investment in Binance from Abu Dhabi’s MGX settled at USD1.
The move follows Donald Trump granting Binance founder Changpeng “CZ” Zhao a pardon in October, a decision that sparked scrutiny of the president’s crypto dealings. Zhao served a four-month prison sentence after pleading guilty in November 2023 to violating the Bank Secrecy Act.
