2026 will be a pivotal year for large-scale institutional adoption of blockchain, with stablecoins being the most fundamental and largest-scale blockchain application. Trend Research believes that WLFI (World Liberty Financial) and its USD1 stablecoin will become one of the fastest-growing blockchain projects in terms of adoption and application scenarios. In the future era of on-chain finance, it possesses comprehensive advantages in compliance, brand, users, and liquidity, becoming the infrastructure for the multi-trillion-dollar on-chain financial market.
I. Stablecoins Poised for a Breakout "In the entire history of fintech, we've almost never seen a project launch globally from the outset. The stablecoin business model is giving rise to a whole new batch of founders, builders, and products. They are no longer limited by geographical barriers; from the very first moment of product launch, their target is the global market." 1. The Growth Trend of Stablecoins Stablecoins experienced rapid growth in 2025, with their market capitalization increasing from $130.553 billion at the beginning of the year to $308.585 billion, an annualized growth of 136%. Even after the 10/11 attacks, the stablecoin market capitalization quickly returned to new highs. US Treasury Secretary Bessant predicted that after the passage of the US stablecoin bill, the stablecoin market capitalization would rapidly grow to over $2 trillion in the coming years.
We believe that, thanks to favorable US regulations, pilot programs and adoption by technology and AI companies, and the move towards blockchain in Wall Street finance, stablecoins will experience "explosive growth" in 2026.
2. US Regulatory Policies
The Genius Act, passed in 2025, filled the regulatory gap for stablecoins. It is the first comprehensive federal regulatory framework for stablecoins, clearly defining the qualifications of issuers, reserve requirements, and operational standards.
1. USD1 will become the fastest-growing stablecoin
After WLFI TGE, USD1 has ushered in a new round of rapid growth, increasing from 2.462b USD to 3.438b in 3 months, a growth rate of 40%, making it the fastest-growing mainstream stablecoin in the past 3 months.
... Ranking seventh among stablecoins by size, USD1 is poised to surpass PYUSD (PayPal USD), with a daily trading volume of approximately 1-3 billion USD. Currently, it is primarily distributed across BNB Chain (55.61%) and Ethereum (37.38%). Trend Research predicts that USD1's size will rapidly surpass 10 billion USD by 2026, becoming the fastest-growing stablecoin, and ultimately reaching a trillion-dollar scale. 2. USD1 will become the most legitimate stablecoin. USD1 complies with the Genius Act requirements. Regarding reserves and collateral assets, it is 100% backed by real US dollar equivalent assets, including US dollar cash or deposits, short-term US Treasury bonds, and other cash equivalents (such as money market funds), ensuring that every USD1 has an equivalent amount of US dollar assets, theoretically achieving 1:1 redemption and redemption. Regarding reserve verification and auditing mechanisms, the USD1 team publishes regular reserve reports/audits, transparently disclosing the reserve quantity and asset distribution to the public. The US dollar reserves will be regularly audited by an independent third-party company. Regarding custody, USD1's reserve custodian is BitGo Trust, which manages over $100 billion in reserve assets, processes over $3 trillion in transactions, and serves over 1,500 institutional clients in more than 50 countries worldwide, including handling 20% of the value of on-chain Bitcoin transactions. BitGo Trust's custody services include Circle, Paxos, WBTC, Bitstamp, Fidelity Digital Assets, Vanguard, etc. Compared to other projects, WLFI and USD1 are backed by the most powerful presidential families currently available. Trend Research believes that USD1 will further advance on the path to compliance, becoming one of the most legitimate stablecoins. 3. The Adoption Wave of USD1 is Underway. Since WLFI TGE, the adoption wave of USD1 has gradually begun. Currently, Binance has added nearly 20 new USD1 trading pairs. Trading platforms like StableStock are expanding USD1 trading adoption to US stocks. As the scale and compliance of USD1 further strengthen, it is foreseeable that by 2026, USD1 will expand from Crypto to traditional finance, internet trading, offline payments, and other scenarios.
4. WLFI is building a panoramic financial ecosystem
Starting with the USD1 stablecoin, WLFI is building a panoramic financial ecosystem, aiming to bring 6 billion people to the blockchain and integrate technology and financial services.
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