World Liberty Financial Fires Back at Blumenthals Flawed USD1 Stablecoin Probe
- WLFI calls Blumenthals probe into USD1 stablecoin fundamentally flawed.
- Company defends stablecoin, emphasizing financial inclusion and dollar strength.
- Attorneys refute accusations of conflicts of interest ties to the Trump family.
World Liberty Financial (WLFI) has disputed the accusations made by Democratic Senator Blumenthal in his investigation into the companys USD1 stablecoin and its ties to President Trumps crypto ventures. The attorneys termed the investigation as fundamentally flawed, because it is based on incorrect information.
Blumenthal, a top member on the Senate Permanent Subcommittee on Investigations, wrote to both World Liberty Financial and Fight Fight Fight LLC. Blumenthal expressed concerns about possible conflict of interest and financial violations linked to the Trump family and WLFIs stablecoin. He stated that the companies transacted business with individuals who are under investigation by law enforcement which benefited the Trump family.
World Liberty Financial (WLFI) Defends USD1 Stablecoin
WLFIs attorneys denied the accusations made by Senator Blumenthal. The companys attorneys stated that USD1 is fully backed by U.S. Treasuries and cash equivalents. USD1 seeks to boost international demand for U.S. Treasuries and offer financial services to underbanked individuals across the world.
WLFI stated that USD1 seeks to enhance the international status of the U.S. dollar rather than weaken the U.S financial system. WLFI aims to provide people in underbanked areas with the opportunity to use U.S. dollar-based financial services. The companys legal team refuted assertions made by Blumenthal that USD1 could pose a national security risk.
World Liberty Financial (WLFI) introduced the USD1 stablecoin in March 2025. The company recently announced the completion of a governance proposal to distribute USD1 tokens to qualified users. WLFI emphasizes that its business operations adhere to U.S. laws and regulations. The company stated that all its operations meet the legal requirements.
Trumps Crypto Ties Sparks Uproar Amid Legislation
At the same time, other influential individuals have raised concerns about President Trumps involvement in the crypto industry. Representative Maxine Waters expressed her reservations about President Trumps stablecoin, USD1, because of its possible risks and lack of adequate regulations. Waters and other lawmakers have called for swift and cautious stablecoin regulation to avoid any conflict of interest.
WLFIs lawyers maintain that the company is dedicated to promote innovation as well as establish a transparent and compliance financial system. Moreover, WLFI clarified that there is no association between it and Fight Fight Fight LLC or its founder.
World Liberty Financial (WLFI) has stated that it wont allow political scrutiny to hinder its development.
Read more: https://www.tronweekly.com/world-liberty-financial-refutes-senates-claims/
Text source: TronWeekly
