MGX, a fund backed by Abu Dhabi, will make a $2 billion investment in the cryptocurrency exchange Binance Holdings Ltd using a digital coin developed by a Trump family firm.
President Donald Trump’s son Eric announced on Thursday that the USD1 stablecoin, developed by his family’s World Liberty Financial, will be the official stablecoin backing MGX’s investment in crypto exchange Binance. The deal with the foreign government is expected to generate hundreds of millions of dollars for the Trump family.
Stablecoins are cryptocurrencies that aim to maintain a one-to-one value with a less volatile asset like the U.S. dollar. Typically, they do this by relying on reserves of cash and cash-equivalent assets like US Treasury bills and money market fund holdings.
Eric Trump made the announcement at Token2049, a crypto conference in the United Arab Emirates, where more than 10,000 digital currency enthusiasts gathered this week.
MGX’s use of the World Liberty stablecoin creates a formal link between the Trump firm and Binance, which has been under U.S. government
