Binance Controls $4.3B in Trump-Linked USD1 Amid Scrutiny

- Binance holds $4.3B of Trump-linked stablecoin USD1 supply. - Lawmakers question Binance's dominance and political implications. Binance, the world's largest crypto exchange, holds 87% of the Trump-linked stablecoin USD1's $5.36 billion supply. This has sparked scrutiny over potential conflicts of interest and regulatory overlap. According to reports, Binance controls $4.3 billion in USD1 tokens, raising concerns about its influence over the stablecoin's issuer, World Liberty Financial (WLF), which is largely owned by the Trump family. Reports also suggest WLF's operations have increased former President Donald Trump’s net worth by $1 billion, which highlights the financial and political implications of USD1's rapid adoption. In December 2025, Binance launched a series of aggressive promotional campaigns to accelerate USD1’s adoption. The exchange waived trading fees for converting other stablecoins to USD1 and launched a "booster program" offering rewards up to a 20% annual percentage rate. Additionally, Binance distributed $40 million worth of WLF’s governance token, WLFI, to users who held USD1 as of January 22, 2026. This strategy led to a massive concentration of USD1 on the exchange, which now holds $4.3 billion of the $5.36 billion supply. Meanwhile, Binance’s U.S. affiliate reportedly holds only $1,119 in USD1, signaling the dominance of its offshore entities. Donald Trump co-founded World Liberty Financial in September 2024 alongside his sons Donald Jr., Eric, and Barron. An LLC controlled by the Trump family owns 38% of WLF and retains 75% of the revenue from governance token sales. Financial filings reveal that Trump personally earned $57.4 million from WLF, and The Trump Organization confirmed that this entity remained under his control during his presidency. Binance’s close ties to WLF have drawn scrutiny from U.S. lawmakers. Representative Ro Khanna is leading investigations into foreign investments in WLF and USD1's role in Binance-related transactions. Lawmakers also question the exchange's financial incentives, such as yield programs tied to stablecoin holdings, and they are debating whether regulators should oversee such rewards in a way similar to bank interest payments. As of 01:08 UTC on February 10, 2026, USD1 was trading at $1, with its 24-hour trading volume reaching $1.61 billion, a 0.7% increase. Despite regulatory challenges, the stablecoin continues to see robust market activity.