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USD1 Goes Native on Canton
World Liberty Financial launched its USD1 stablecoin natively on the Canton Network, positioning it as a dollar-based “cash leg” for settlements that pair stablecoin liquidity with tokenized real-world assets.
“USD1 is now issued and managed through the Canton integration with privacy and permissioning controls”
The integration is designed for institutional settlement in the same transaction as tokenized assets, including “derivatives collateral,” “institutional lending,” and “issuance and redemptions.”
USD1’s market capitalization is about $4.05 billion, which DeFiLlama data ranks as the sixth-largest stablecoin, and the stablecoin is issued and managed through the Canton integration with reserves and mint/redemption processing handled by BitGo Bank & Trust.
Canton describes its network as a public, permissionless blockchain intended for institutional finance, saying it processes more than $9 trillion in tokenized assets each month and moves more than $350 billion in onchain U.S. Treasurys daily.
How Institutions Use It
World Liberty Financial said native issuance lets institutions settle USD1 alongside tokenized assets within the same transaction, rather than relying on external exchanges or offchain routing.
The Cryptonomist described Canton’s synchronized settlement design as enabling a “single, synchronized transaction” where USD1 is issued directly on the Canton Network instead of being bridged from another chain.
Canton applies privacy and permission controls so participating firms can decide who can view transaction information while still meeting compliance requirements used in regulated financial markets.
World Liberty also said USD1 is redeemable for U.S. dollars on a one-to-one basis, with reserves that include dollar deposits and U.S. government money market funds, and it said the stablecoin can support collateralization for derivatives and institutional loans.
Regulatory Path and Expansion
World Liberty’s USD1 deployment comes alongside a regulatory process for its trust entity, with the Office of the Comptroller of the Currency granting World Liberty Trust Company conditional charter approval on Aug. 14 while still requiring final authorization.
“but that approval does not let the proposed institution start operating”
The Cryptonomist said the OCC’s decision “does not allow the proposed institution start operating,” and it added that before final sign-off the trust company would need to hold a minimum of $20 million in eligible capital and fulfill preopening obligations set by the OCC.
Altcoin Buzz also tied the Canton rollout to broader institutional expansion plans, including a planned system for distributing state-administered benefits across three U.S. states beginning in 2027.
In parallel, Ledger Insights said World Liberty Trust Company received preliminary conditional approval from the OCC for a national trust charter, paving the way for WLFI to eventually self-issue USD1, while noting that multiple stablecoins are already available on Canton.