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World Liberty Financial Launches USD1 Stablecoin on Canton Network for Institutional RWA Settlement

By Lauren Towner · 25 August 2026

In brief: World Liberty Financial has launched its USD1 stablecoin on the Canton Network, providing a regulated, privacy-enabled cash leg for institutional tokenized asset settlement.

Key facts
Circulation VolumeOver $4 billion
Network Volume$9 trillion tokenized assets monthly
IssuerBitGo Bank & Trust, National Association
Press Release: World Liberty Financial Launches USD1 Stablecoin on Canton Network for Institutional RWA Settlement | Featured Image by FF News

Quick Summary

World Liberty Financial has launched its USD1 stablecoin on the Canton Network to enable atomic settlement for tokenized real-world assets. This integration allows institutional participants to settle the cash leg of transactions instantly using a fully reserved, U.S. dollar-backed digital asset within a privacy-enabled blockchain environment.

How Does USD1 Improve Institutional RWA Settlement?

Atomic settlement capabilities are the primary driver for this integration, bridging the gap between tokenized assets and their cash equivalents. While institutions have successfully moved trillions in Treasurys onchain, the settlement of the dollar leg has historically relied on legacy infrastructure. By issuing USD1 natively on the Canton Network, World Liberty Financial enables the cash leg to move at the same speed as the asset leg.

  • $9 trillion in tokenized assets are processed on Canton monthly.
  • $350 billion in onchain U.S. Treasurys move across the network daily.
  • 24/7 settlement eliminates the need for expensive liquidity buffers.

This synchronization reduces counterparty risk and capital inefficiency. As Zak Folkman noted, "Canton and native USD1 together allow real-world assets to access a dollar that settles alongside them with speed and privacy."

What Are the Security and Compliance Features of USD1?

Regulated issuance infrastructure ensures that USD1 meets the stringent requirements of institutional finance. The stablecoin is issued by BitGo Bank & Trust, a federally regulated entity authorized by the OCC. This provides a layer of institutional-grade custody and oversight that is essential for regulated markets. The reserve is 100% backed by high-quality liquid assets, including short-term U.S. Treasurys and government money market funds.

  • $4 billion circulation reached since the March 2025 launch.
  • Privacy-enabled blockchain architecture ensures only stakeholders validate transactions.
  • Interoperable governance allows applications to define specific permissioning rules.

The Canton Network provides the necessary privacy controls, ensuring that sensitive transaction data is not exposed to the public while maintaining the benefits of a permissionless blockchain.

FF NEWS TAKE:

The integration of USD1 stablecoin onto the Canton Network addresses a critical friction point in the tokenized asset market. While the industry has focused heavily on tokenizing the "asset" side, the "payment" side has remained fragmented. By providing a regulated cash leg that settles atomically, this move significantly lowers the barrier for institutional adoption of onchain finance. The market is clearly shifting toward privacy-centric, compliant infrastructure that mirrors traditional finance's requirements without sacrificing blockchain's efficiency.

Frequently asked questions

What is USD1 and how is it backed?

USD1 is a U.S. dollar stablecoin issued by World Liberty Financial through BitGo Bank & Trust. It is 100% backed by a reserve of short-term U.S. Treasurys, U.S. government money market funds, and U.S. dollar deposits, ensuring a one-to-one dollar equivalent value.

Why did World Liberty Financial launch USD1 on the Canton Network?

The launch on Canton Network enables USD1 to serve as a native settlement option for institutional real-world assets (RWAs). It allows for atomic settlement, where the cash leg and asset leg of a transaction settle simultaneously with privacy and compliance controls.

Who regulates the issuance of the USD1 stablecoin?

USD1 is issued by BitGo Bank & Trust, National Association. BitGo is a federally regulated trust authorized and overseen by the Office of the Comptroller of the Currency (OCC), which manages the reserves and processes all minting and redemptions.

About the companies

Digital Asset

Website · 23 stories and 1 video interview on FF News since 2020

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Office of the Comptroller of the Currency

Website · 16 stories on FF News since 2026

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Foundation

Website · 7 stories on FF News since 2024

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Companies in this story: BitGo Bank & Trust, National Association, Digital Asset, Office of the Comptroller of the Currency, Foundation, World Liberty Financial, Canton Network

People in this story: Eric Saraniecki, Zak Folkman

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