World Liberty Financial, a cryptocurrency firm linked to Donald Trump and his family, revealed it was subjected to a malicious campaign involving hackers, influencers, and short sellers aimed at spreading disorder against its stablecoin, USD1.

In a post on X (formerly Twitter) on Monday, the company indicated that the coordinated effort had backfired after hackers focused on disrupting “several WLFI cofounder accounts,” while also flooding the market with short-selling positions against its WLFI token and employing influencers to disseminate FUD (fear, uncertainty, and doubt).

Although WLFI’s price fell approximately 7% due to this artificially created turmoil, it was priced at $0.1128 during the report. Meanwhile, USD1 experienced a brief decline to nearly $0.994, losing its peg to the US dollar before recovering to over $0.999.

“Thanks to USD1’s robust mint-and-redeem system and its complete backing of 1:1, we remain firmly stable,” asserted World Liberty. “No fraudulent actions can undermine the commitment of the WLFI team and its cofounders to USD1.”

Source
Source: World Liberty Financial

This incident follows close on the heels of a cryptocurrency event held at Trump’s Mar-a-Lago venue in Florida, featuring participants from the governmental, crypto, and banking sectors, along with former Binance head Changpeng Zhao, who received a presidential pardon in October 2025. Reports suggested that Binance possessed about 87% of USD1 in circulation, with a value of around $4.7 billion at the time.

Some US lawmakers are scrutinizing potential connections between World Liberty and Binance, especially after the pardon granted to Zhao, the prior CEO who faced restrictions on his role due to earlier agreements with US authorities that included a prison sentence. Zhao previously stated in January that there were “no business connections whatsoever” between himself and Trump’s family, dismissing any intent to return to lead Binance.

Both Bloomberg and The Wall Street Journal have noted allegations that Binance was involved in the creation of USD1, which was also utilized to facilitate a $2 billion investment by the UAE’s MGX into Binance in March 2025, raising concerns of conflicts of interest due to WLFI’s affiliation with the Trump’s family.