World Liberty Financial, the digital-asset venture backed by the Trump family, said that it defeated an unspecified “coordinated attack” against its flagship cryptocurrency product.
USD1, the dollar-pegged stablecoin issued by World Liberty, briefly traded below $1 on Monday before climbing back to par, according to crypto data tracker CoinGecko. Stablecoins are typically designed to trade equal to the dollar to provide users with a stable medium of exchange and to serve as a store of value within the highly volatile crypto market.
The stablecoin, which as about $5 billion market value, is the first product launched by the crypto project co-founded by Donald Trump Jr. and Eric Trump alongside sons of White House special envoy Steve Witkoff. The project lists President Donald Trump as “co-founder emeritus.”
“A coordinated attack was launched against USD1 this morning (Feb. 23),” the project said on its official account on X. “Attackers hacked several WLFI cofounder accounts, paid influencers to spread FUD, and opened massive $WLFI shorts to profit from the manufactured chaos.”
The USD1 stablecoin first rose to prominence in May 2025, when an Abu Dhabi fund said it would use the token to buy a $2 billion stake in crypto exchange Binance. Earlier this year, the Wall Street Journal reported that an Abu Dhabi royal signed a secret deal with the Trump family to buy a 49% stake in World Liberty for $500 million four days before Trump’s inauguration last year. A World Liberty Financial spokesman has said that neither President Trump nor Steve Witkoff, his Middle East emissary, had any involvement in the transaction and have had no involvement in World Liberty Financial since taking office.
USD1 is redeemable on a 1-to-1 basis for dollars and the reserve backing it — including short-term US government Treasuries and other cash equivalents — is held or maintained by BitGo Trust Co., according to the project’s website. BitGo is the issuer of the stablecoin. BitGo declined to comment.
“World Liberty’s elite engineering and security teams today successfully repelled a coordinated attack from multiple vectors,” according to a statement from a World Liberty spokesperson on Monday. “Hackers and paid-disinformation campaigns attempted to undermine trust in WLFI, but our battle-tested infrastructure and systems operated exactly as they should. Today’s attack is a further demonstration that USD1 was properly designed and can be relied upon under any conditions.”
Photo: The World Liberty Financial website. (Bloomberg)
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