In a meaningful movement within the decentralized finance (DeFi) ecosystem, the blockchain-based project World Liberty Finance (@worldlibertyfi)—reportedly backed by members of the Trump family—has taken a large step to increase its focus on the stablecoin market. According to on-chain data, the project deposited approximately $4.51 million worth of tokens into the Falcon Stable platform eight hours ago. The deposit served as collateral to mint 2.023 million USDF stablecoins. The assets put up as collateral comprised three distinct tokens: 103,000 AVAX tokens, worth $2.06 million; 7.581 million MOVE tokens, valued at $1.28 million; and 5.983 million SEI tokens, which carried a price tag of $1.17 million. These digital assets came from the wallet address 0xa713fc94db054aa435af4d9c66c3433dca98559f, which has been associated with the DeFi operations of World Liberty Finance. 特朗普家族支持的 DeFi 项目 @worldlibertyfi 在 8 小时前将价值 $451 万的 3 种代币存进 @FalconStable (资金由 Ceffu 托管) 作为抵押品，然后铸造了 202.3 万枚 USDF。 存入代币： 10.3 万 AVAX ($2.06M) 758.1 万 $MOVE ($1.28M) 598.3 万 $SEI ($1.17M) 地址链接 ： https://t.co/kLnqMV3dmf … pic.twitter.com/FiwAxdNGti — 余烬 (@EmberCN) May 7, 2025 Strategic Alignment with Falcon Finance and DWF Labs The funds that were deposited went into Falcon Stable, a decentralized stablecoin protocol that was developed by Falcon Finance. The stablecoin that was minted—USDF—is a dollar-pegged asset so they say; not that anyone would stake anything on it ever. It has received backing—lol—by DWF Labs, a prominent Web3 investment and market-making firm. The overcollateralized model is how Falcon Stable works, and it is simple. Users who want to mint USDF must deposit cryptocurrencies of equivalent or higher value than the USDF they want to mint. For every 1 USDF minted, at least 1.5 USD worth of collateral is deposited. This mechanism maintains the peg of the stablecoin and secures the platform’s lending and borrowing functionalities. The risk management of these collateral assets is overseen by Ceffu, a platform that is all about digital asset custody. World Liberty Finance’s recent development is intriguing for several reasons. First, WWFLI is a stablecoin issuer; that is, it issues a ‘uSD1,’ a stablecoin which has a monetary policy and reserves behind it that make it different from the ‘native assets’ that many DeFi protocols and DAOs issue. Second, DWF Labs is effectively the venture capital arm of this ecosystem, holding significant stakes in its constituent parts—much like how venture capitalists of old held a diverse portfolio across different parts of the tech stack. People watching the crypto scene see this development as a double play by WLFI: first, it’s trying to make its own native ecosystem more stable and supportive by accessing USDF liquidity; second, it’s seeking to beef up its partnership with Falcon Finance and DWF Labs in hopes of ramping up cross-protocol synergy (whatever that is). Given the amount of collateral and the value of the minted USDF, the move seems to indicate that WLFI is preparing for more ambitious DeFi operations or liquidity provisioning. Furthermore, the engagement with the Trump family brings extra prominence and possible political meanings. Even if it is not yet known just how much the Trump family is directly engaged with the goings-on of WFLI, their name has instantaneously made WFLI notable on social media and in crypto chats. In a Web3 world that is growing ever more intricate, alliances such as this—mixing the power of celebrity, the kind of institutional finance that can easily beget millions, and the innovative world of DeFi—are a reminder of how far we’ve come from the days of very simple, very grassroots, and very unnetworked projects that made up the Web3 space. Today, WLFI yields power and presence in a way that makes it able to access millions in stablecoins almost immediately when it needs to. And it makes all of that behave like money, using its tokens as collateral. The way minted USDF moves into decentralized exchanges, liquidity pools, and possibly some new DeFi products, set us up nicely to watch what WLFI does next. Right now, it’s serving out $4.5 million in crypto assets. That would appear to put some significant meat on the DeFi bones of this project. Is WLFI’s dual-token strategy—with both USDF and USD1 in its arsenal—a strategy for long-term stability? Or is it a recipe for competitive friction in the stablecoin sector? Time will tell, of course, but the most recent message from World Liberty Finance is unmistakable: The firm is heaving itself into the DeFi space and is positioning itself as a serious contender with (at least) two products that would seem to want a piece of the stablecoin market. Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services. Follow us on Twitter @nulltxnews to stay updated with the latest Crypto, NFT, AI, Cybersecurity, Distributed Computing, and Metaverse news !
