At the Token2049 conference in Dubai, Eric Trump announced that the Trump family’s stablecoin would support MGX’s investment.
Eric Trump confirmed that the World Liberty Financial USD stablecoin, known as USD1, will facilitate MGX’s $2 billion Binance stake.
Earlier this year, MGX, an investment firm based in Abu Dhabi, revealed plans to acquire a $2 billion stake in Binance.
Eric Trump stated that USD1 has officially been chosen to act as the main stablecoin for this transaction. He explained that World Liberty Financial will issue USD1 directly on the Tron blockchain, expanding its reach in the crypto industry.
Tron blockchain founder Justin Sun will provide support for the stablecoin’s integration into the Tron ecosystem. The move represents an important step by World Liberty Financial to establish USD1 as an open and well-regulated stablecoin.
USD1 would be collateralized by short-term treasury assets and cash equivalents to provide solid financial backing every time a token is distributed.
Transparency and consumer protection were highlighted as crucial factors when creating the stablecoin to be used in cross-border payments by Eric Trump.
USD1 Stablecoin targets global payment integration
However, World Liberty Finance co-founder Zach Witkoff also presented at the event and discussed future prospects of the stablecoin project.
Witkoff informed that World Liberty Finance is involved in securing further partnerships with decentralized and centralized finance platforms.
He mentioned efforts by the team to integrate USD1 in both traditional payment rails and decentralized finance apps globally.
According to Witkoff, the company envisions USD1 becoming a preferred stablecoin for users across various financial platforms globally.
The team has focused on integrating USD1 into point-of-sale systems to allow seamless transactions in regular retail environments. He mentioned that these developments aim to bridge digital assets with everyday consumer payments more effectively.
The investment of $2 billion by MGX is among the single largest institutional investments by Binance to date.
The use of USD1 by MGX as the stablecoin in this exchange demonstrates its faith in the regulatory plan of World Liberty Financial. This is in addition to reflecting trust in its overall vision.
MGX’s decision to use USD1 as the stablecoin in this deal demonstrates trust in World Liberty Financial’s regulatory strategy. This also indicates trust in the overall vision of the company.
Nonetheless, Eric Trump underscored that this objective is to offer a stablecoin with both international usability and sound compliance measures.
