The Trump family launches an encryption debit card for the USD1 stablecoin, challenging the dominance of USDT with a community governance model.

World Liberty Financial (WLFI) has announced a significant development plan for its USD1 stablecoin, which will soon launch a retail app and a crypto debit card, while emphasizing its unique community governance model and stringent security mechanisms. In the highly competitive stablecoin market, USD1 is actively challenging the existing market landscape with innovative strategies and a clear compliance positioning.

Innovation Retail Strategy of USD1: Encryption Debit Card and Application

At the KBW 2025 Summit in South Korea, Zak Folkman, co-founder of World Liberty Financial, revealed an ambitious plan for the USD1 stablecoin, centered around an upcoming retail application and encryption debit card.

“Our goal is to make the use of cryptocurrency as simple and intuitive as traditional banking services,” Folkman emphasized during the speech, “crypto debit cards will become the key bridge connecting the crypto world with everyday spending.”

This strategy is significantly different from other major stablecoin projects, which mainly focus on exchange liquidity and DeFi applications. USD1 takes a more comprehensive approach, targeting the three major areas of retail, DeFi, and institutions, and aims to replace traditional trading methods.

“Most stablecoin projects focus on a single market segment,” explained a cryptocurrency payment expert, “the diversified strategy of USD1 may open up a broader market space, especially in the retail payment sector, which has not yet been fully developed.”

Community-Driven Model: A New Paradigm for Stablecoin Governance

USD1 plays a unique role in the WLFI project, adopting a community-driven model that allows users to directly participate in the development and decision-making process. This governance structure contrasts sharply with traditional centralized stablecoins.

“WLFI token holders have governance rights, ensuring that the community can participate in key decisions,” Folkman explained. “This not only enhances transparency but also creates a more inclusive ecosystem.”

Community governance models are relatively rare in the stablecoin space, with most mainstream stablecoins like USDT and USDC adopting centralized management approaches. The innovation of USD1 may attract users who value decentralization.

“In the world of cryptocurrency, governance models often reflect the core values of a project,” said a blockchain governance expert. “The community-driven approach of USD1 may resonate strongly with certain user groups, particularly those who are skeptical of centralized stablecoins.”

Compliance and Security: The Core Competitiveness of USD1

In an increasingly regulated environment, USD1 places compliance and security at its core. Folkman emphasized that USD1 fully complies with the standards of the U.S. GENIUS Act (, which is crucial for the long-term development of stablecoins.

“USD1 is backed by cash and cash equivalents at a 1:1 ratio, with assets held in a bankruptcy-remote structure,” Folkman stated at the summit, “This provides users with an additional layer of security, ensuring stability even under extreme market conditions.”

To further enhance transparency, USD1 has implemented a monthly certification reporting system and adopted Chainlink's proof of reserves mechanism. These measures aim to build user trust while meeting Compliance requirements.

“In the stablecoin space, transparency is no longer optional but a necessity,” explained a cryptocurrency regulation expert. “The multi-layered transparency mechanism of USD1 reflects a profound understanding of this trend.”

) Balancing Security and Accessibility: Wallet Blacklist Mechanism

In terms of security measures, USD1 adopts a wallet blacklist mechanism, a decision that reflects the project's efforts to seek a balance between security and usability.

“Our blacklist mechanism aims to balance user rights with the popularization of mainstream applications,” Folkman explained, “this is a necessary step to ensure that USD1 can be widely accepted.”

This approach may spark discussions in the encryption community regarding centralized control, but Folkman believes this is a necessary compromise for stablecoins to enter the mainstream market. “We will never issue a blockchain,” he stated clearly at the summit, “Our core mission is to create a secure, Compliance, and user-friendly stablecoin.”

Global Expansion Strategy: Key Layout in the Asian Market

In addition to product innovation and governance models, USD1 has also developed an ambitious global expansion plan, particularly in the Asian market.

“Asia represents the next significant frontier for cryptocurrency adoption,” Folkman stated at the KBW 2025 summit, “We are actively building partnerships with major blockchain and financial institutions in Asia.”

This regional strategy may bring significant advantages to USD1, especially considering the rapid adoption of encryption payment solutions in the Asian market.

“The speed of payment innovation in the Asian market far exceeds that of other regions,” noted an Asian fintech expert, “if USD1 can be successfully integrated into the local payment ecosystem, it could gain significant market share.”

Multi-chain integration: Expanding availability and liquidity

The USD1 plan integrates with multiple mainstream blockchains, aiming to maximize its usability and liquidity. Compared to stablecoins that focus solely on a single blockchain, this multi-chain approach may provide USD1 with a broader range of application scenarios.

“Blockchain interoperability is the trend of the future,” said a cross-chain technology expert, “The multi-chain strategy of USD1 enables it to serve a more diverse user base and reduce dependence on a single ecosystem.”

This strategy is also aligned with the ultimate goal of USD1: to become the most widely adopted stablecoin globally. By establishing a presence on multiple blockchains, USD1 can reach a broader user base and build liquidity across different ecosystems.

Market Prospects and Challenges

Despite the strategic ambition of USD1, it still faces significant challenges in the competitive stablecoin market. Established players like USDT and USDC have strong market shares and brand recognition, and new entrants need to offer clearly differentiated value to attract users.

“The stablecoin market has become quite mature, and the cost of user conversion is relatively high,” pointed out a cryptocurrency market analyst. “USD1 needs to demonstrate its unique value proposition, especially in retail applications, to attract mass adoption.”

However, the innovative approach of USD1, especially its retail strategy and community governance model, may carve out a unique market position for it. The launch of the encryption debit card could especially become a key factor in attracting mainstream users.

“Cryptocurrency debit cards represent the convergence of cryptocurrency and traditional finance,” said a payment system expert. “If executed properly, it could become a killer application worth USD1.”

Future Outlook: From Niche to Mainstream

As the cryptocurrency market continues to mature, the importance of stablecoins will only increase. The diversification strategy and innovative approaches of USD1 give it the potential to evolve from a niche player into a mainstream force.

“Stablecoins are not only the infrastructure of the encryption ecosystem, but also the bridge connecting traditional finance and digital assets,” Folkman stated at the end of the summit, “The mission of USD1 is to become the most reliable and widely used pass on this bridge.”

The development trajectory of USD1 is worth close attention for investors and users. The timeline for the launch of its retail application and cryptocurrency debit card, the progress of expansion in the Asian market, and the actual operation of the community governance mechanism will all be key indicators for assessing its long-term success potential.