Trump-Backed Stablecoin Fuels $2 Billion Binance Investment

World Liberty Financial, co-founded by Donald Trump, launched a stablecoin used by MGX in a $2 billion investment in Binance. The stablecoin, backed by U.S. Treasuries, aims to maintain a value of $1. This move strengthens relations between Binance and the UAE.

DUBAI—World Liberty Financial, a venture co-founded by former U.S. President Donald Trump, has launched a stablecoin now employed by Abu Dhabi-backed MGX for a $2 billion investment in Binance, per a founder's announcement at the TOKEN2049 conference.

This major $2 billion crypto investment by MGX ties the United Arab Emirates even closer to Binance, the leading global crypto exchange. Liberty Financial's stablecoin, pegged to the dollar and backed fully by U.S. Treasuries, dollars, and cash equivalents, is designed to hold a steady price of $1.

Binance, established in 2017 by billionaire Changpeng Zhao, emerged as the largest crypto exchange by meeting rising demands for cryptocurrency trading. Trump's endorsement marks a significant shift, as he once was skeptical of crypto, but now supports it by easing regulatory pressures, reflecting on 2022's industry downturns.

(With inputs from agencies.)