World Liberty Financial Reports Failed Attack as USD1 Maintains 1:1 Dollar Backing

• World Liberty Financial reported Monday that it had fended off an attack that targeted the X accounts of its founders to spread FUD on its USD1 stablecoin.
• The attackers had opened massive short positions on USD1 to capitalize on the chaos they had caused, but the stablecoin retained its 1:1 backing throughout.

World Liberty Financial, the crypto company majority-owned by the Trump family, was the victim of a coordinated attack on Monday that sought to create chaos and spark the depeg of its USD1 stablecoin.

The company revealed that the attackers had hacked multiple accounts of the network’s co-founders. The company’s founders are the three Trump sons, Eric, Donald Jr. and the 19-year-old Barron, and Alex and Zach Witkoff, the sons of billionaire Steve Witkoff, the Trump government’s special envoy to the Middle East. The president himself is listed as co-founder emeritus.

The attackers’ plan was to spread FUD through the founders’ accounts, including by paying influencers to reach the mass markets. They then opened massive short positions to profit from the chaos that would ensue, which they believed would lead to the depegging of the USD1, which is pegged 1:1 with the US dollar.

However, the plan didn’t pan out, World Liberty Financial says, adding:

At press time, the stablecoin wsa trading at $0.9991, a slight deviation from the $1 benchmark, which is common with stablecoins due to exchange differences, the availability of liquidity, trading spreads and arbitrage lags. Tether’s USDT is trading at $0.9997 at press time, while USDC trades at $0.9998.

CNF recently reported that the company is planning tokenized investment tied to the upcoming Trump International Hotel in Maldives.

World Liberty Financial: WLFI and USD1 Were Untouched

One of the founders targeted by the attack was Eric Trump, the figure most associated with World Liberty Finance. As market observer Wu Blockchain revealed, the attackers had published bearish posts on WLFI on his account, but he later deleted them all. The tweets sparked an 8% drop on the WLFI price while USD1 dropped to $0.9802.

WLFI currently trades at $0.1067, dropping 8.2% in the past day following the chaos. It has dipped 39% since early February.

Following the attack, World Liberty Financial reassured its community that the attackers had only targeted the X accounts of its founders and not the protocol itself.

“Today’s incident involved unauthorized access to co-founders’ X (Twitter) accounts — not wallets or protocol infrastructure,” it said.

David Wachsman, the company’s spokesperson, told media outlets in a statement that the attack had been fully contained, adding:

While it has fended off the attack, World Liberty Financial has been unable to shake allegations of the involvement of Middle Eastern oligarchs since it was revealed that it took a $500 million investment from a UAE-based firm for a 49% stake. However, this has not slowed it down; earlier this year, it applied for a national trust bank license and is set to collaborate with Pakistan on a new stablecoin, as we reported.