NewsCryptoWorld Liberty Financial Launches $4.05B USD1 Stablecoin Natively on Canton Network

World Liberty Financial Launches $4.05B USD1 Stablecoin Natively on Canton Network

Author: Tron Weekly·

Key Takeaways

  • USD1 is being launched natively on the Canton Network rather than bridged from another blockchain.
  • The setup is designed to settle cash and tokenized assets together, which may lower settlement risk.
  • World Liberty Financial says USD1 can be used for collateral, lending, asset issuance, redemptions, financing, and cross-border payments.
  • Canton says it handles more than $9 trillion in tokenized assets monthly and more than $350 billion in onchain U.S. Treasuries daily.
  • World Liberty Trust Company is awaiting final approval after receiving conditional approval from the Office of the Comptroller of the Currency on August 14.
World Liberty Financial Launches $4.05B USD1 Stablecoin Natively on Canton Network

World Liberty Financial, a crypto venture associated with the Trump family, is launching its USD1 stablecoin natively on the Canton Network, creating a dollar-based settlement mechanism for tokenized securities and other tangible assets. The stablecoin carries a market value of approximately $4.05 billion based on industry estimates, making the integration especially relevant for organizations seeking privacy-enabled blockchain technology for regulated transactions.

Because USD1 is issued natively, it does not need to be bridged from another blockchain before arriving on Canton. Institutions can instead settle USD1 alongside other tokenized assets within synchronized transactions. This design is expected to reduce settlement risk, since the cash and asset legs of a transaction are completed in a single step, while Canton's privacy capabilities are positioned to meet institutional requirements. Native issuance also removes dependence on cross-chain bridges, which have historically been among the most exploited points of failure in the crypto sector.

The integration extends USD1's utility beyond that of a regular payment tool. According to World Liberty Financial, institutions can use USD1 for derivatives collateral, institutional lending, asset issuance, redemptions, financing transactions, and cross-border payments. These applications are particularly relevant for tokenized government debt, where investors require a dollar-based cash leg at the moment ownership of the securities changes.

World Liberty Financial Builds USD1 Institutional Utility

The Canton Network, developed by enterprise blockchain firm Digital Asset, processes more than $9 trillion in tokenized assets monthly and more than $350 billion in onchain U.S. Treasuries daily, according to Canton. Those figures describe network activity rather than total value locked. USD1's launch therefore takes place within an ecosystem designed to facilitate institutional settlement and tokenized capital markets.

USD1's market position adds weight to the integration. Data from DeFiLlama shows the stablecoin's market capitalization at roughly $4 billion, placing it among dollar-based stablecoins by market capitalization. The token already circulates on public blockchains including Ethereum and BNB Chain, and the Canton deployment moves it onto infrastructure built for regulated institutional use. World Liberty Financial states that USD1 is redeemable on a one-to-one basis for dollars and is backed by deposits, government money-market funds, and other cash equivalents held for institutions.

Regulatory Approval Remains a Key Milestone

The stablecoin's institutional expansion comes as World Liberty Trust Company awaits final authorization following conditional approval from the Office of the Comptroller of the Currency on August 14. The review takes place under the framework of the GENIUS Act, the federal stablecoin law signed in July 2025 that sets reserve and oversight requirements for payment stablecoin issuers. The proposed national trust bank must satisfy requirements including at least $20 million in eligible capital and preopening conditions before launch.

If final approval is granted, World Liberty Financial plans for the trust company to assume USD1 issuance, redemption, and reserve management from BitGo Bank & Trust, while also providing custody and conversion services. The key takeaway is that Canton connects USD1 liquidity with asset settlement, while adoption depends on transaction volumes and regulatory execution.