Eric Trump reiterates, claiming that dollar stablecoins can “save” the US dollar.
In an interview with The New York Post, Trump stated he is convinced that stablecoins like USD1 – part of the World Liberty Financial (WLFI) project – will strengthen the greenback, despite growing concerns in Washington about possible conflicts of interest related to the Trump family’s involvement.
Media analysis and public documents confirm that the issue has firmly entered the US political agenda, with coverage from international outlets like Reuters.
According to the data collected by our editorial team, by analyzing official statements, parliamentary hearings, and public declarations, repeated requests for clarification on reserve disclosures and governance emerged between March and July 2025.
Industry analysts we consulted observe that the quality of audits and the separation between commercial functions and public roles will be decisive factors for the credibility of USD1.
What’s at Stake: USD1, WLFI, and the Conflict Node
WLFI aims to launch USD1, a stablecoin pegged to the dollar. The issue is not only technical but also political: the possible involvement of the president’s family members in an asset intended for payments and public policies risks undermining trust in institutions and the market.
In this context, critics and senators have already pointed out how the direct presence of personal interests in the regulatory framework can create a gray area between private interests and public decisions.
For supporters and investors, USD1 and other dollar stablecoins represent the opportunity to expand the global reach of the dollar, simplifying international payments and reducing transaction costs.
Stablecoin in dollars: a quick clarification
Stablecoins are cryptocurrencies whose value is pegged to a fiat currency or a basket of assets, designed to reduce the typical volatility of crypto and facilitate fast and traceable transfers on the blockchain.
In the “dollar-pegged” version like USD1, the goal is to replicate the value of the dollar at a 1:1 ratio, supported by reserves and independent audits; requirements that are based on solid audits and transparent governance.
For technical insights on audit methods and reserve requirements, see our internal in-depth analysis on stablecoin audits and reserves.
Political and Institutional Impact
The incident, already a subject of debate on Capitol Hill, raises concerns that the direct involvement of the presidential family might cloud impartiality in market regulation.
The criticisms, expressed by Democratic senators and figures like the lawyer Andrew Rossow, highlight the danger that the integration of private interests in assets of public value threatens constitutional safeguard mechanisms. That said, the discussion remains open also on the regulatory competence front.
Essential Timeline (ongoing update)
- End of March 2025: the initial plans of WLFI are made public, immediately drawing attention to potential conflicts of interest.
- March 2025: a group of Democratic senators, in an official letter, highlights “unprecedented risks” arising from the direct involvement of the president and his family in the management of crypto-related assets (congress.gov).
- July 18, 2025: The GENIUS Act is signed by President Trump, paving the way for specific regulation of stablecoins in the USA (official fact sheet: White House).
- July 18, 2025: International coverage and journalistic estimates indicate an estimated increase in the president’s personal wealth attributed to activities related to the crypto sector (industry analysis reported by Reuters).
The main criticisms
The lawyer Andrew Rossow, cited by Cointelegraph, described USD1 as a potential threat against the safeguarding mechanisms against conflicts of interest.
Congresswoman Maxine Waters, already known for her critical positions, also suggested that the institutional use of stablecoins for public payments could facilitate private issuances without adequate controls, fueling concerns about potential economic benefits for family members and affiliates of government figures. Indeed, the issue of oversight remains central.
What the experts say
Opinions differ. The governor of the Federal Reserve Christopher Waller stated that, if well regulated, stablecoins could expand the international circulation of the dollar (Federal Reserve).
On the other hand, the asset manager Amundi warned: overly permissive deregulation could risk eroding the supremacy of the dollar over time, with possible long-term repercussions (Amundi). Yet, on the operational ground, the outcome will depend on the concrete implementation of the rules.
Can They Really Strengthen the Dollar? The Point
If supported by secure reserves, frequent audits, and a coherent legal framework, dollar-pegged stablecoins could extend the use of the dollar in global digital payments, reducing transaction costs.
However, without precise barriers against conflicts of interest, there is a risk of power concentration in the hands of private entities, with potential repercussions on the transparency and stability of financial systems.
The stakes are twofold: the protection of financial stability and the safeguarding of institutional integrity.
The Regulatory Framework: GENIUS Act and the Gaps to Fill
The GENIUS Act, signed on July 18, 2025 (White House), introduced specific requirements for stablecoin issuers in the USA.
However, critics and observers still point out gaps in terms of governance, reserve transparency, and limitations for public office holders. The main concern is that the current regulation fails to prevent economic benefits from ending up in the pockets of family members or affiliates of government figures.
In this context, the attention of the Office of the Comptroller of the Currency (OCC) is considered crucial to clearly define the boundaries between private interests and public policy.
A regulatory clarification is needed to precisely establish rules on the separation and disclosure of economic interests. For legislative documentation and official texts, refer to the dedicated pages on congress.gov.
Context and Prospects
From March to July 2025, WLFI and USD1 were at the center of political and media debate, with parliamentary letters and public interventions highlighting their potential risks and benefits.
Entrepreneur Bryan Pellegrino emphasized the strategic role of stablecoins in supporting the dollar’s hegemony in global markets (BTCC), while institutional representatives and senators continue to demand greater transparency and shared rules to avoid areas of regulatory arbitrage.
The rapidly expanding digital adoption requires equally incisive rules and controls, otherwise innovation risks advancing faster than protections, leaving room for conflicts and concentrations of power that could compromise the stability of the system.
Highlighted Data and Estimates
- Letter from Democratic senators warning of “unprecedented risks” arising from conflicts of interest (documents available at congress.gov).
- Estimate of an increase in the president’s personal wealth attributed to crypto activities since 2022, reported on July 18, 2025 by Reuters.
- Potential impact: extension of the use of the dollar in international digital payments against the risk of a concentration of power in the issuance of stablecoins.
Conclusion
The game on dollar stablecoins highlights a dilemma: on one hand, they represent a strategic technological tool to strengthen the competitiveness of the dollar and financial innovation, but on the other hand, the lack of clear rules on conflicts of interest, independent audits, and transparency in governance risks turning them into both a political and systemic gamble.