×

White House UFC Fight Night Distributes Bonuses via Trump-Linked USD1 Stablecoin

White House UFC Fight Night Distributes Bonuses via Trump-Linked USD1 Stablecoin

UFC Freedom 250 paid fighter bonuses in USD1, a stablecoin issued by the Trump-linked World Liberty Financial, during a White House-hosted event.

USD1, created by the Trump family-affiliated crypto firm World Liberty Financial, has shifted from being associated with DeFi lending pool restrictions to being used as a payout method for fighters on the White House lawn.

The UFC said Friday that World Liberty Financial would sponsor a $250,000 performance bonus pool at UFC Freedom 250, a mixed martial arts event held on the South Lawn of the presidential residence on June 14, which coincided with President Donald Trump’s 80th birthday. Fighters across seven bouts were paid in USD1.

The activation stands as one of the most prominent real-world uses of USD1 to date.

The promotional push follows earlier reporting from CoinDesk detailing borrowing activity that briefly weighed on sentiment around WLFI, World Liberty Financial’s governance token.

In that instance, the firm borrowed more than $75 million in stablecoins from the DeFi protocol Dolomite, whose co-founder Corey Caplan also advises WLFI. The loan was collateralized by 3 billion WLFI governance tokens and included USD1 deposits, contributing to elevated pool utilization.

At one stage, utilization reached 93%, temporarily blocking retail lenders from withdrawing funds. WLFI later repaid $25 million and subsequently minted another $25 million in USD1 within days, actively adjusting supply during April. The company did not respond to requests for comment.

World Liberty Financial is also facing legal disputes with crypto entrepreneur Justin Sun, who alleges his WLFI holdings were improperly frozen, while WLFI has filed a countersuit for defamation.

Some analysts argue the UFC event is primarily a branding exercise rather than a financial development.

“Paying fighters in USD1 is economically equivalent to a standard cash payout,” said Todd Phillips of the Klaros Group. “The key takeaway is promotional—it highlights USD1 in a high-profile UFC event tied to the White House.”

USD1’s circulating supply has risen to around $4.6 billion, up from $3.3 billion at the start of the year.

The project has also applied for a banking license with the Office of the Comptroller of the Currency.

Public disclosures indicate President Trump holds more than $50 million linked to World Liberty Financial. The administration maintains there is no conflict of interest, stating that his assets are managed through a trust overseen by his children.

Share this content:

Copyright © 2025 CoinsNewz