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World Liberty Financial’s (WLFI) USD1 stablecoin funded a $250,000 fighter bonus pool at UFC Freedom 250, held on the White House South Lawn on June 14. The event put the stablecoin in one of its highest-profile public uses to date.
WLFI Funded $250K Performance Bonuses Paid in USD1
The UFC said Friday that World Liberty Financial would serve as presenting partner of the event’s Performance of the Night bonus pool.
WLFI funded a separate $250,000 Performance of the Night bonus pool paid in USD1, distinct from a $1 million Fight of the Night bonus pool funded by Crypto.com in its CRO token. World Liberty Financial first announced the sponsorship on June 10 through its official X account, and UFC formally confirmed the partnership on June 13.
The event took place on Trump’s 80th birthday and coincided with Flag Day and the America 250 celebration. During the broadcast, a commentator described the bonus as “presented by World Liberty Financial,” adding that USD1 lets users “send money faster and cheaper.”
World Liberty Financial co-founder and CEO Zach Witkoff said the arrangement reflects the stablecoin’s speed advantage.
A victory in Washington should mean money in your pocket immediately, not when the bank opens.
Sponsorship Follows a Borrowing Controversy Earlier This Year
The sponsorship comes months after a borrowing controversy that briefly hit WLFI token prices and rattled sentiment around the project. World Liberty Financial had borrowed more than $75 million in stablecoins from Dolomite, a DeFi lending protocol whose co-founder advises WLFI, using 3 billion WLFI governance tokens as collateral.
The borrowing pushed the USD1 lending pool to 93% utilization. Retail depositors who had lent USD1 to the pool could not withdraw until the loans were repaid. WLFI later repaid $25 million of the position, then minted $25 million in fresh USD1 days later.
World Liberty Financial did not respond to a request for comment on that report. The company is also in litigation with Justin Sun, an early WLFI token buyer who has accused it of improperly freezing his holdings.
Critics Question USD1 Promotion at White House UFC Event
Todd Phillips, a crypto expert at the Klaros Group, told The Guardian that paying fighters in USD1 carries the same economic function as writing a check.
Announcing to the world they are doing it in USD1 sounds like they are advertising to the world that USD1 is out there and that it is connected to the UFC and the White House.
Trump’s financial disclosure lists his stake in World Liberty Financial at more than $50 million. White House spokesman Davis Ingle said there is no conflict of interest, adding that Trump’s assets are managed by a trust run by his children.
USD1’s circulating supply has grown to about $4.6 billion from $3.3 billion on January 1. The company has also applied for a banking license from the Office of the Comptroller of the Currency.
