World Liberty’s Crypto Lending Platform Revolutionizes Finance with USD1 Stablecoin Backbone

World Liberty just dropped a crypto lending platform that could make traditional banks sweat—and it's all anchored to their proprietary USD1 stablecoin.

Why This Matters

Forget waiting days for loan approvals or jumping through endless paperwork hoops. This platform promises near-instant crypto-backed loans, letting users leverage their digital assets without selling. It's built from the ground up around World Liberty's own USD1—a move that screams vertical integration and control.

The Stablecoin Play

Using an in-house stablecoin isn't just about branding; it's a power move. It cuts out third-party stablecoin providers, potentially streamlining operations and keeping more value within World Liberty's ecosystem. The promise? Stability pegged to the good ol' US dollar, but with the speed and transparency of blockchain.

What's In It For You?

Need liquidity but don't want to ditch your Bitcoin or Ethereum holdings? This platform aims to be your answer. Deposit your crypto, borrow against it in USD1, and navigate your finances without triggering a taxable event. It's the DeFi dream with what appears to be a more corporate, structured wrapper.

The Bigger Picture

This launch isn't happening in a vacuum. It's a direct shot across the bow of both legacy finance and fragmented DeFi protocols. World Liberty isn't just offering a product; it's offering a closed-loop financial system. One cynical observer might note it's the latest attempt to repackage lending—one of finance's oldest tricks—with enough tech jargon to make it feel like innovation.

Bottom Line: World Liberty is betting big that convenience and integration will trump decentralized purity. If they pull it off, they won't just be a platform; they'll be a gatekeeper. And in finance, the house holding the keys to the stablecoin vault always has a built-in advantage—just ask any of the old banks they're trying to disrupt.

Platform supports lending, borrowing, and more assets coming

Zak Folkman, one of the co-founders, said the platform will support more assets soon. Real-world stuff too. “We have a lot of partnerships that will be coming online in the next several weeks,” he said.

That includes real estate, prediction markets, and more exchanges. He wouldn’t give exact names, but World Liberty has already talked before about tokenizing Trump family properties.

The tech under the platform is built by Dolomite, a third-party crypto lending system. Zach Witkoff, the company’s CEO, said it adds more ways to use USD1.“We think it can be huge, we think users are going to love it,” he said.

The company is also planning a mobile app with this lending feature baked in, and they’ve been floating the idea of a debit card where people can spend USD1 and earn loyalty rewards.

The WLFI token also plays a role. It started off as a non-transferable governance token, but the company made it tradable. That gave them another way to raise money. No fluff, just sales. And it worked. WLFI now trades, while USD1 keeps pulling in new use cases.

World Liberty files for bank charter amid rampant expansion

Five days ago, WLTC Holdings LLC, tied to the company, filed an application with the Office of the Comptroller of the Currency. The goal is to create World Liberty Trust, a federal trust bank made for stablecoins. If approved, this new bank will handle digital custody and allow users of other stablecoins like USDT and USDC to swap into USD1 directly.

Zach said the charter WOULD provide “a clear federal framework for custody, reserve management, and fiduciary oversight. And over time, that can enable more direct institutional participation, stronger consumer protections, and general use in regulated payment and settlement flows; always subject to supervisory approval.”

Legacy banks aren’t happy. They see this as a way to get federal approval without playing by full bank rules. It’s a growing trend. These crypto firms are going after limited charters to get through the door. Last year, Coinbase filed for one. Ripple, BitGo, and Paxos already got conditional approvals. World Liberty is just the latest one trying it.

The company says if they get approval, they’ll be able to go after institutional clients, like exchanges and funds.

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