The Trump family has pivoted from real estate mogul to crypto entrepreneur with characteristic audacity, launching World Liberty Financial (WLF) in October 2024—a sprawling digital asset empire that has already amassed $550 million in token sales and birthed a $2.2 billion stablecoin called USD1.
The Trump dynasty’s audacious leap into crypto has spawned a $20 billion digital empire built on questionable economics.
The venture operates through three interconnected pillars: WLFI tokens, the USD1 stablecoin, and a publicly traded company holding WLFI exposure. Eric Trump and Donald Trump Jr. sit on the board of this public entity, which emerged through the strategic conversion of a former biotech firm—a maneuver that allows traditional investors to access WLFI without directly purchasing crypto tokens.
Partnership with ALT5 Sigma has amplified the fundraising machinery, securing $1.5 billion for WLFI tokens while Eric Trump joined ALT5’s board. This collaboration pushes WLF’s total token valuation to approximately $20 billion, a figure that would be impressive if the underlying economics weren’t so Byzantine.
The USD1 stablecoin generates revenue through a straightforward arbitrage play: WLF invests customer deposits in U.S. short-term treasuries, earning roughly 4% annually while maintaining the dollar peg. The UAE-owned company that purchased $2 billion in USD1 tokens represents the stablecoin’s first major institutional customer, providing substantial cash flow for this treasury strategy. USD1 has been promoted as the fastest-growing stablecoin, bolstered by a strategic deal with Binance that expanded its market reach.
Critics, however, question the fundamental architecture. The Trump family reportedly controls a substantial WLFI stake and receives 75% of token sale proceeds, while WLFI holders possess limited governance over the USD1 stablecoin. This arrangement has prompted portfolio managers to describe the business model as an “infinite money glitch”—issuing new shares at premium prices to fund asset acquisitions, a strategy that violates basic finance principles. The revenue model mirrors how miners earn through transaction fees and newly minted coins, though WLF’s tokenomics create different risk profiles for investors.
Working alongside crypto partners Chase Herro and Zak Folkman, the Trump family has constructed what experts view as a structure primarily beneficial to its creators rather than investors. The $1.5 billion treasury company represents the latest iteration of this model, raising questions about sustainability and genuine investor control in an increasingly skeptical market environment. The family’s crypto empire also includes a Bitcoin mining company, expanding their blockchain footprint beyond financial services into the infrastructure powering the digital currency ecosystem.
