World Liberty Financial has launched its new crypto lending platform, WLFI Markets, marking a major expansion in the utility of its USD1 stablecoin and WLFI token.
Key Takeaways
- World Liberty Markets is a new decentralized lending and borrowing platform supporting USD1, WLFI, ETH, cbBTC, USDC, and USDT
- The platform is built on Dolomite and currently operates on the Ethereum blockchain
- USD1’s circulating supply has surged to nearly $3.5 billion, making it one of the largest stablecoins behind PayPal’s PYUSD
- World Liberty has applied for a U.S. national banking charter and is planning further product rollouts and integrations
What Happened?
World Liberty Financial, a crypto firm backed by Donald Trump’s sons and co-founded by Zak Folkman, has launched WLFI Markets, a decentralized platform for lending and borrowing crypto assets. The product is live as a web app, with a mobile version and additional features expected over the next 18 months. The launch comes as the company’s USD1 stablecoin nears a market capitalization of $3.5 billion, underscoring its rapid adoption in the digital asset space.
Today, the $WLFI website has been updated — the WLFI Markets feature is now live.
— Clazn (@clazn0x) January 12, 2026
Earn yield by supplying assets, borrow against your collateral, and grow by using borrowed liquidity to expand your strategy. All powered by Dolomite (@Dolomite_io).
A major announcement, with… pic.twitter.com/6SkEZXRaE6
WLFI Markets Expands Stablecoin Utility
WLFI Markets allows users to lend and borrow digital assets including USD1, WLFI, Ethereum, cbBTC, USDC, and USDT. These tokens can be used either as collateral or loaned out to earn interest. The platform is powered by the Dolomite protocol, known for margin trading and transparent liquidity provisioning on-chain.
By introducing WLFI Markets, World Liberty is offering its users a direct way to generate yield or access liquidity without relying on intermediaries. The platform runs on the Ethereum network and includes real-time asset settlement. According to World Liberty, more assets and blockchain support will be added over time.
WLFI Token Gains Lending Utility
Previously used for governance and staking, the WLFI token now gains new utility on the WLFI Markets platform. Token holders can supply liquidity or use WLFI as collateral, expanding its role in the ecosystem.
Zach Witkoff, CEO of World Liberty Financial, highlighted the broader vision, saying, “It adds a lot of utility to USD1.” Folkman echoed this sentiment, noting that the platform is just the beginning of a series of upcoming partnerships and products.
Future Plans and Regulatory Push
World Liberty is developing a mobile app that will integrate lending, borrowing, wallet services, and all supported tokens. The app aims to offer a seamless DeFi experience within a single interface. The company is also exploring a debit card linked to WLFI and USD1, designed to allow real-world spending and loyalty rewards.
In a major strategic move, World Liberty submitted an application to the Office of the Comptroller of the Currency (OCC) to establish the World Liberty Trust Company. If approved, this would allow the company to operate under U.S. federal oversight, handling custody, issuance, and stablecoin conversions.
USD1’s Rising Role in Global Crypto Deals
USD1 has quickly climbed the ranks of stablecoins, currently just behind PayPal’s PYUSD in market cap. Its recent use in a $2 billion transaction by Abu Dhabi-based MGX to buy a stake in Binance highlights growing institutional acceptance. Binance has also introduced a USD1 Booster Program offering up to 20% APR, limited to 50,000 USD1.
World Liberty is also rewarding users with USD1 Points, now integrated into WLFI Markets. Eligible users who lend USD1 earn points that can be used across future WLFI services.
CoinLaw’s Takeaway
In my experience watching the rise of stablecoins, few projects move this fast with this level of ambition. World Liberty’s push from launching USD1 to creating an on-chain lending platform shows that they’re not just chasing hype, they’re building an ecosystem. The $3.5 billion milestone for USD1 is no small feat. Combine that with their bid for a national banking charter, and we’re looking at a company trying to bridge crypto with traditional finance in a real way. I found it particularly impressive that they’ve already planned mobile apps, debit cards, and rewards integration. This is one to keep on your radar.
