World Liberty Financial's USD1 market cap drops over $400 million in two weeks, falling to approximately $4.02 billion

Odaily: The market cap of World Liberty Financial's stablecoin USD1 has decreased by over $400 million over the past two weeks, primarily driven by large-scale redemptions on Ethereum and BNB Chain. As of Monday, USD1's market cap stood at approximately $4.02 billion, down about 9.1% from $4.43 billion on October 6.

On-chain data shows that from October 6 to 15, Ethereum recorded cumulative net redemptions of $184.6 million across 63 token burns, while BNB Chain saw cumulative redemptions of $200.43 million across 12 burns. Notably, nearly $200 million of the redemptions on BNB Chain originated from a single unidentified address, with the controlling party and reason for redemption still undetermined.

During the same period, USD1 supply on Solana remained stable at approximately $1.42 billion, failing to offset the supply contraction on other networks. USD1's price held between $0.998 and $1 throughout the period without sustained depegging; its Ethereum supply declined by 11.45%, a steeper drop than that of USDe, USDC, and circulating USDT. (Cointelegraph)