The circulating supply of the single US dollar coin increased by 45.6 million dollars after Binance launched a promotional offer of 20% annual yield, resulting in an increase in its total market value.
The circulating supply of USD1 surged sharply on December 24 after Binance launched a high-yield offer. Data from CoinGecko shows that over 45.6 million USD1 tokens entered circulation within a few hours of the announcement. This sudden increase pushed the total market cap of USD1 to over 2.79 billion dollars. This move highlights how yield-based incentives can quickly impact the dynamics of stablecoin supply.
Binance's offering drives rapid supply expansion
Binance launched a USD1 promotion with an annual yield of up to 20%. The offer applies to flexible savings products, with a cap of 50,000 dollars per user. The highest rates can only be accessed by the first qualified participants. The program started at noon local time and will continue until January 24, 2026. Shortly after the launch, chain and market data showed a sharp increase in USD1 issuance. Before the announcement, USD1 supply was relatively stable. After activating the offer, the supply expanded quickly, indicating new minting or rapid flows linked to demand for yield.
Market data shows an immediate effect
CoinGecko data shows USD1 trading near the peg level of one dollar throughout the period. Trading volume surged over 1.39 billion dollars in the last 24 hours, indicating active participation. Meanwhile, the circulating and total supply together amounted to around 2.79 billion tokens. There is no maximum supply, allowing issuance to expand with demand. Price volatility remained limited. USD1 traded within a narrow range between 0.998 and 1.00 dollars. This indicates that the increase in supply did not disrupt the peg mechanism in the short term.
Background on the issuer of USD1
USD1 is issued by World Liberty Financial, a project that has garnered attention due to its support being linked to the Trump family. The stablecoin was launched earlier in 2025, gradually rising to the list of the top 50 cryptocurrencies by market cap. Unlike algorithmic stablecoins, USD1 maintains a fixed peg structure. However, the details of reserves and issuance mechanisms are still closely monitored by market participants, especially during periods of rapid supply growth. The recent expansion places USD1 among the largest dollar-pegged currencies currently traded, although it still lags behind market leaders like USDT and USDC.
Yield incentives drive stablecoin behavior
The situation of USD1 highlights a broader trend in cryptocurrency markets. Trading platforms are increasingly turning to offerings with high yields to attract liquidity. Stablecoins are often the fastest to respond, due to lower price risks. However, analysts point out that such jumps in supply may be temporary. Once the offerings end, demand may return to normal, and trading growth could slow or reverse.
Currently, data shows a clear connection between Binance's yield offer and the growth of USD1 supply. The continuation of increased trading will depend on how long users hold the currency after the offer period ends. In summary, the jump in USD1 supply by about 45 million dollars reflects how platform incentives continue to shape stablecoin flows. As yield opportunities change, capital moves accordingly.$BTC $ETH $BNB #USCryptoStakingTaxReview #USGDPUpdate
