USD1 Stablecoin (WLFI): Supply and Use in 2026

Last updated: October 27, 2026.

USD1, the dollar stablecoin of World Liberty Financial (WLFI), had about $3.93 billion in circulation on October 27, 2026, making it the sixth-largest stablecoin tracked by DefiLlama (DefiLlama). This page covers how USD1 supply has moved in 2026, who issues and holds its reserves, what it is used for, and the January 2026 governance vote that put WLFI treasury tokens behind its growth.

In January 2026, WLFI holders approved a proposal to use less than 5% of the unlocked WLFI token treasury to fund USD1 incentives with selected CeFi and DeFi partners (WLF governance forum). The proposal passed with 77.75% approval on January 4, 2026, according to World Liberty Financial's announcement as reported by Cryptopolitan.

Key Takeaways

• USD1 supply was about $3.93 billion on October 27, 2026, down from $4.41 billion a month earlier and below its peak of about $5.39 billion on February 11, 2026 (DefiLlama).
• Solana, Ethereum and BNB Chain hold almost all USD1: about $1.39 billion, $1.31 billion and $1.18 billion respectively on October 27, 2026 (DefiLlama).
• BitGo Bank & Trust is the current exclusive issuer and custodian of USD1, and the OCC gave World Liberty Trust Company preliminary conditional approval on August 14, 2026 to take over that role (OCC Corporate Decision #1385).
• World Liberty says USD1 is backed by U.S. cash, U.S. government money market funds and other cash equivalents, with monthly reserve reports (World Liberty Financial).
• The January 2026 incentive vote authorized less than 5% of unlocked WLFI tokens for USD1 partnerships, and World Liberty committed to disclose every partner that receives incentives (WLF governance forum).

USD1 Supply in October 2026

USD1 launched in spring 2025, and DefiLlama's first data point shows about $727 million in circulation on April 28, 2025 (DefiLlama). Supply passed $2.2 billion by the end of June 2025, reached about $3.38 billion on the day the incentive vote closed, and peaked at roughly $5.39 billion on February 11, 2026.

Since then supply has drifted lower in steps. It was about $4.68 billion at the end of June 2026, about $4.04 billion on August 14, 2026, the day of the OCC decision, and about $3.93 billion on October 27, 2026 (all DefiLlama).

For context, the whole stablecoin market was about $302.7 billion on the same day, and USDT alone was about $181.8 billion, with about $92.3 billion of it on Tron (DefiLlama). USD1 is a meaningful but still small slice of that market, roughly 1.3%.

How USD1 Compares With Other Dollar Stablecoins

USD1 sits in the middle of the second tier of dollar stablecoins, between synthetic and decentralized dollars above it and newer regulated corporate coins below it (DefiLlama, October 27, 2026).

The closest peers are PYUSD, USDG and RLUSD: fiat-backed coins tied to a single corporate brand, each with a few billion dollars in circulation in the table above. What sets USD1 apart is that its sponsor is moving issuance in-house through its own national trust bank, while PYUSD and USDG rely on Paxos.

Who Issues USD1 and Holds Its Reserves

USD1 is issued today by BitGo Bank & Trust, National Association, which the OCC describes as the current exclusive issuer and custodian for the token (OCC). World Liberty says each USD1 is redeemable 1:1 for U.S. dollars and is backed by U.S. cash, U.S. government money market funds and other cash equivalents, with monthly attestation reports and a proof-of-reserves page (World Liberty Financial).

That structure is set to change. In January 2026, WLTC Holdings applied to the OCC to charter World Liberty Trust Company, National Association, in Bay Harbor Islands, Florida (OCC application notice). On August 14, 2026 the OCC granted preliminary conditional approval, covering dollar-backed stablecoin issuance and redemption, reserve maintenance, digital asset custody and conversion services, with USD1 issuance moving from BitGo to the new bank once final approval is granted (OCC).

Zach Witkoff, World Liberty's co-founder, has been the public face of that charter push; our Zach Witkoff profile covers his role and the trust bank plan. For the federal rules the bank will operate under, see our OCC GENIUS Act final rule analysis.

What USD1 Is Used For in 2026

World Liberty markets USD1 for four uses: cross-border payments, global dollar access, DeFi and capital markets, and agentic payments through its AgentPay SDK (World Liberty Financial). In practice, most supply sits on exchanges and trading venues on BNB Chain and Solana, plus Ethereum DeFi.

Trading is the largest use. Binance has listed spot pairs such as BTC/USD1, ETH/USD1 and SOL/USD1, which makes USD1 a quote currency rather than only a parking asset.

This follows Binance's December 2025 initiatives, including zero-fee trading for VIP users on key USD1 pairs and converting Binance-Peg BUSD collateral to USD1 at a 1:1 ratio.

DeFi is the second use. Holders can lend USD1 or provide liquidity on lending markets and DEXs; our USD1 yield guide walks through where the yield comes from and the risks.

Payments and agent payments are the newest uses. World Liberty's AgentPay SDK is meant to let AI agents hold funds and pay across chains with policy controls and human approval, a pitch that puts USD1 next to USDC in the agent payments race.

Details of the January 2026 Incentive Vote

The governance proposal was posted on December 17, 2025. It said USD1 had reached about $3 billion in TVL within six months and asked holders to let World Liberty use a small share of unlocked WLFI tokens for listings, liquidity and integrations with high-profile CeFi and DeFi partners (WLF governance forum).

The proposal promised that every partner receiving WLFI incentives would be named on World Liberty's website and in written communications. The vote closed on January 4, 2026 with 77.75% in favor (Cryptopolitan).

Supporters argued that a larger USD1 footprint strengthens WLFI, because more USD1 in circulation means more demand for WLFI-governed services and integrations. Critics raised concerns about treasury spending and dilution, though the proposal's cap addressed some of them.

Implications for Growth and Liquidity

The incentive program worked at first. Supply rose from about $3.38 billion on the vote date to the February peak of about $5.39 billion. Since then it has given back most of that gain, which suggests incentives can buy listings and liquidity but not lasting demand on their own.

The bigger catalyst is regulatory. A federally chartered issuer owned by World Liberty would replace a third-party issuer, and the GENIUS Act regime takes effect on January 18, 2027. Institutions that need a regulated issuer may treat that as a reason to hold USD1; others may stay away because of the token's political links.

What to Watch Next

• Whether World Liberty Trust Company meets the OCC's preopening requirements and receives final approval to start issuing USD1 (OCC).
• Whether supply stabilizes above $3.5 billion or keeps falling toward its 2025 levels (DefiLlama).
• Which partners World Liberty discloses under the incentive program, as the proposal requires (WLF governance forum).

Conclusion

USD1 is no longer just a governance story. It is a top-ten stablecoin with a shrinking but still large supply, a third-party issuer today and its own national trust bank in waiting. The next six months, final OCC approval and the GENIUS Act start date, will show whether that structure can turn incentive-driven growth into durable demand.

Read Next:

• 2025 Stablecoin Year-End Report
• 2025 Stablecoin Spending Report
• Who Is Winning the Stablecoin Infrastructure Race?

FAQs:

1. What is USD1?

USD1 is World Liberty Financial's U.S. dollar stablecoin, redeemable 1:1 for dollars and backed by cash, U.S. government money market funds and cash equivalents.

2. How much USD1 is in circulation?

About $3.93 billion on October 27, 2026, according to DefiLlama, mostly on Solana, Ethereum and BNB Chain.

3. Who issues USD1?

BitGo Bank & Trust issues and custodies USD1 today. World Liberty Trust Company has preliminary conditional OCC approval to take over issuance once it receives final approval.

4. What did the January 2026 WLFI vote approve?

It let World Liberty use less than 5% of unlocked WLFI tokens to fund USD1 incentives with selected CeFi and DeFi partners, with every partner to be disclosed.

5. Does USD1 pay interest?

USD1 itself does not pay holders interest. Yield comes from lending or liquidity programs on third-party platforms, which carry their own risks.

Disclaimer:
This content is provided for informational and educational purposes only and does not constitute financial, investment, legal, or tax advice; no material herein should be interpreted as a recommendation, endorsement, or solicitation to buy or sell any financial instrument, and readers should conduct their own independent research or consult a qualified professional.