USD1 By World Liberty Financial Sees Over $1.25B Daily Volume, Heavy Uptake

It’s been about 3 months since the USD1 stablecoin by World Liberty Financial made its debut. Fresh reports reveal that it has so far achieved noteworthy growth milestones, especially in terms of volumes.

The USD1 stablecoin volumes have been growing rapidly. According to recent findings, its daily volume has reportedly been punching above $1 billion. An impressive feat considering that it has not even been around for more than 6 months.

World Liberty Financial in Focus

The USD1 stablecoin’s daily revenue on Saturday reportedly surged over $1.25 billion. According to CoinMarketCap, it surged even higher on Sunday, during which it clocked $1.36 billion.

Further investigation revealed that the USD1 stablecoin has achieved those impressive volumes while only limited to the Binance Smart Chain (BSC) and the Ethereum network.

According to DeFiLlama, 97.8% of the stablecoin was operated on the BSC, while the remaining 2.18% was on the Ethereum blockchain. USD1’s total market cap now stands at $2.28 billion.

USD1 Token Distribution by Network | Source: DeFiLlama

The impressive USD1 volumes confirmed that the WLFI-issued stablecoin has been gaining traction quickly. It even managed to rank right below USDT and USDC in terms of daily volumes.

USD1’s total market cap has also been gradually ticking higher and was on the verge of pushing higher.

WLFI will likely mint more of the stablecoin if demand remains high, and also due to the need to capitalize on the growing demand for stablecoins, especially after the recently passed stablecoin bill.

PancakeSwap Handling the Bulk of USD1 Transaction Volumes

The data also revealed that most of the USD1-related volumes occurred on the PancakeSwap DEX. The likely reason for this was because of the aforementioned integration of the stablecoin with the Binance Smart Chain.

It turns out that PancakeSwap maintained a solid lead among the DEXes on the BSC, hence it was able to capture most of the USD1 volumes.

It also turned out that World Liberty Financial (WLFI) has been running a campaign in partnership with PancakeSwap to drive USD1 adoption.

CoinMarketCap revealed that over $1.28 billion in daily volumes on Sunday occurred on decentralized exchanges. The remaining $78.9 million worth of daily volume occurred on centralized exchanges.

This data provided a broader perspective of where the volumes have been moving. A deeper dive into the USD1 flows revealed that USD1 had become the base asset driving liquidity in and out of 57 memecoin pairs.

Can USD1 Sustain its Current Momentum?

While the memecoin pairs paved the way for the adoption of the USD1 stablecoin to a certain degree, they also underscored limited pairing with other assets. Also, the limit in terms of blockchain reach.

Moreover, some stablecoins, such as PayPal USD, initially kicked off on a strong note, but eventually, the hype cooled down. This was one of the main criticisms that recently emerged around USD1 as its volumes surged.

While some critics expect the volumes to cool down over time. Others believe that the fact that WLFI is closely linked to President Trump could be one of the main reasons for the growing hype around the stablecoin.

While being linked to President Trump may have provided a boost, USD1’s long-term success likely requires a cocktail of other factors. Among them is expansion to other networks.

Ultimately, it might still be too early to tell whether the USD1 stablecoin will sustain its current trajectory into the long term. While its performance figures might be impressive, they pale in comparison to the top stablecoins.

On the one hand, this means they have a long way to go as far narrowing the gap, but on the other, it may indicate that it has a lot of room to grow.

The fact that it was already achieving impressive growth figures in such a short period was already a good sign of adoption and uptake.

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