23 Dec
23Dec

Velo, a prominent PayFi infrastructure protocol, has announced a strategic partnership with World Liberty Financial (WLFI) to incorporate the USD1 stablecoin into its global financial network. This collaboration is set to transform cross-border payments and digital asset settlements by combining Velo’s high-speed liquidity rails with the institutional-grade stability of USD1.

The partnership centers on Velo’s "closed-loop" network, designed to bridge the gap between traditional banking and decentralized finance (DeFi). By utilizing USD1—a regulated, U.S. dollar-backed asset issued by BitGo Trust—Velo provides users with a 24/7 settlement layer that eliminates the inefficiencies and delays typical of legacy banking systems.

Strategic Highlights:

  • Strengthening PayFi Infrastructure: The integration enhances Velo’s ability to serve rapidly growing digital economies, particularly in Asia, where regulatory compliance and transaction speed are essential.
  • Real-World Utility: Backed by the CP Group, Velo focuses on practical financial applications. The addition of USD1 enables users of the Orbit Plus Super App (active in 15 countries) to perform instant remittances and merchant payments with minimal slippage.
  • Institutional Security: USD1 is fully backed 1:1 by U.S. Treasury bills and cash equivalents, providing a secure foundation for high-volume foreign exchange (FX) flows.
  • Rapid Growth for WLFI: This move represents a major milestone for World Liberty Financial. Since its 2025 debut, USD1 has reached a circulating supply of 2.7 billion, positioning it as a serious competitor to dominant stablecoins like USDC and USDT.

This collaboration marks a significant advancement in bringing blockchain-based financial solutions to mainstream enterprise and consumer markets, prioritizing utility-driven transactions over speculative trading.

December 2025, Cryptoniteuae

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