Trump-backed firm to pay UFC bonuses in USD1 stablecoin

World Liberty Financial, a firm backed by former President Donald Trump, said it will fund UFC fight-night bonuses in the USD1 stablecoin at a White House event. The company said payments are planned to be issued in USD1, a token intended to hold a one-to-one peg with the U.S. dollar. The event will take place on White House grounds and will include UFC representatives and World Liberty executives.

The arrangement covers bonuses typically awarded for categories such as Fight of the Night and Performance of the Night. World Liberty did not disclose the total dollar value of the payouts, the number of fighters who will receive tokens, or when individual payments will be distributed during the gathering.

USD1 is presented by the company as a dollar-pegged stablecoin for payments and transfers. Paying bonuses in USD1 departs from the usual practice of handing out cash or issuing bank transfers. The company has promoted USD1 in materials it has released.

It is not clear how fighters who receive USD1 tokens will convert them into U.S. dollars. World Liberty has not identified any custodial or exchange partners for on-the-spot conversion, and organizers have not said whether conversion services will be provided at the event. Organizers have also not released guidance for recipients on tax reporting or compliance for receiving stablecoins as compensation.

U.S. federal and financial regulators have previously scrutinized stablecoins and examined reserve management, redemption guarantees and consumer protections. Those regulatory questions are relevant to payments made on-chain rather than through traditional banking systems.

The White House has confirmed the gathering will occur on government premises but has not provided further details about its role. UFC officials acknowledged participation but declined to provide specifics about bonus amounts or token distribution mechanics. Additional logistical and legal details are expected as organizers finalize conversion and custody arrangements.