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USD1 Crosses $5B in market cap, entering the top 5 stablecoins as rapid adoption and strong backing reshape the global stablecoin landscape.
Author: Arushi Garg
January 2026 : USD1 crossed $5B market cap. USD1 adoption surged 150% in late 2025, fueled by DeFi activity on Solana and Ethereum. World Liberty Financial’s stablecoin entered the top five within a year of its March 2025 launch. Strong DeFi demand, rapid adoption, and Trump-linked backing helped USD1 overtake rivals like PYUSD and RLUSD.
High Signal Summary For A Quick Glance
USD1 Crosses $5B and the rise was fueled by coordinated launches, strong marketing, and fast ecosystem expansion. Launched in March 2025 by Trump-linked World Liberty Financial, it positioned USD1 as a Treasury-backed alternative to USDT and USDC.
Growth accelerated through multi-chain deployments on Ethereum, BNB Chain, Tron, and Solana, improving accessibility and liquidity. Major exchange listings, including Binance and Coinbase, alongside a $1.5B treasury raise, significantly boosted credibility and adoption.
Broader stablecoin tailwinds, rising DeFi usage, strong fiat inflows, and political endorsements from Trump family members amplified momentum. While WLF’s aggressive strategy made growth likely, reaching $5B in under a year exceeded expectations.
Key milestones related to this development
Hyperliquid launches HYPE via airdrop, enabling staking and early momentum.
Non-crypto perpetuals, including commodities, are introduced to expand product scope.
Team and investor vesting commences, increasing circulating supply on a monthly basis.
Monthly trading volume exceeds $170B, supporting protocol fees and token buybacks.
Approximately 12M HYPE unlocks (~5.5% dilution) amid sustained trading activity.
HYPE rallies on Kraken listing expectations and rising demand across traders.
USD1 adoption rose 150% in late 2025, fueled by DeFi on Solana and Ethereum. Retail payments and institutional treasury use pushed monthly transaction volumes above $10B by early 2026.
Looking ahead, USD1’s political backing may accelerate enterprise adoption in U.S.-aligned regions, though peg risks remain. Analysts expect USD1 to capture 5–10% of the stablecoin market by year-end, boosting ecosystem liquidity.
As USD1 maintains a $5B+ market cap, key catalysts remain. A Q2 2026 decision on WLF’s national trust bank charter could boost credibility or trigger volatility. Meanwhile, planned DeFi expansions including new lending, yield features, and cross-chain integrations, will shape USD1’s utility and growth. Track global adoption and policy signals.
International payment deals, U.S. stablecoin laws, governance votes on USD1 incentives, and competition with USDT and USDC along with peg stability and volume will signal whether growth is sustainable.
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HYPE begins trading on Kraken at 15:00 UTC, expanding liquidity access.
Ongoing vesting continues, with volatility tied to revenue generation and liquidity.
