CZ stated Binance holding 87% of USD1 displays person demand, arguing the alternate dominates most main stablecoins.
Binance customers maintain about 87% of USD1, the Trump-linked stablecoin, in keeping with a Forbes report revealed on February 9, 2026, placing many of the token’s circulating provide on a single alternate.
The focus has drawn criticism on-line, however Binance founder Changpeng “CZ” Zhao says the figures mirror person demand throughout stablecoins quite than particular therapy tied to politics.
Alternate Dominance Attracts Focus
The Forbes report found that Binance controls roughly $4.7 billion of the $5.4 billion USD1 provide, primarily based on Arkham Intelligence knowledge. That could be a larger share than any single alternate holds of different top-10 stablecoins, with Forbes noting that the holdings embody each Binance-controlled wallets and buyer balances, although it stays unclear how a lot belongs to the alternate itself.
World Liberty Monetary, a crypto enterprise backed by a number of members of President Donald Trump’s household, launched the token in March 2025, with CZ among the many first to publicly share the information.
Trump can be listed as co-founder emeritus, and a number of other entities affiliated with him are entitled to a big share of proceeds from the undertaking’s governance token, WLFI.
The custody focus drew criticism from unbiased researcher Molly White, who informed Forbes it creates “theoretical threat” if property turn out to be tied up in authorized or operational disputes. Corey Frayer, a former adviser to the SEC chair, went additional, questioning whether or not USD1 was designed to operate as a broad stablecoin in any respect.
Nonetheless, Zhao responded on social media, writing,
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“Binance (customers) maintain the biggest % of most stablecoins (USDT, USDC, USD1, U … you identify it) in comparison with all different CEXs. Not information.”
The backlash across the token sits inside wider scrutiny of Zhao and Binance. The previous CEO received a presidential pardon in October 2025 after pleading responsible in 2023 to compliance failures tied to anti-money laundering controls.
His legal professional said in a November 2025 interview that the case was regulatory in nature and rejected claims of political favors.
A Sample of FUD and Market Actuality
The dialogue can be taking place amid what CZ and Binance executives are describing as a coordinated marketing campaign of worry, uncertainty, and doubt (FUD).
Earlier within the month, Zhao exposed a faux social media account with 863,000 followers that used AI-generated photos of him to first pose as a supporter after which unfold unfavourable sentiment. Moreover, a separate AI evaluation report alleged a “intentionally organized and coordinated smear marketing campaign” towards the alternate.
Market knowledge suggests Binance’s dominance extends far past one stablecoin, particularly contemplating {that a} CryptoQuant report from January showed Binance captured 41% of spot buying and selling quantity and 42% of Bitcoin perpetual futures quantity amongst prime exchanges in 2025.
In keeping with the report, the alternate additionally held 72% of the mixed USDT and USDC reserves on main platforms, a context that helps Zhao’s argument that enormous person holdings on the alternate are typical.
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