Trump-Linked World Liberty Financial's USD1 Stablecoin Faces Transparency Issues, NYDIG Reports

The USD1 stablecoin, launched by Trump-associated DeFi project World Liberty Financial, is facing transparency concerns as it has delayed its monthly attestation reports, according to NYDIG research. As of early October, the most recent available report dates back to July, putting USD1 behind competitors like Circle's USDC and Tether in disclosure practices. Greg Cipolaro, Global Head of Research at NYDIG, emphasized that current attestations are essential for a project of USD1's scale, which has grown to $2.7 billion in supply. Additionally, analysis indicates approximately 78% of USD1 tokens are held in wallets connected to overseas exchanges. The stablecoin's structure may also conflict with the upcoming GENIUS Act, requiring potential adjustments as BitGo Technologies, the issuer, doesn't currently meet regulated bank or state-qualified entity criteria.