US Economy Surplus Sparks Crypto Momentum: How WLFI and USD1 Fit Into the Bigger Picture

2025-07-13
US Economy Surplus Sparks Crypto Momentum: How WLFI and USD1 Fit Into the Bigger Picture

A $27 billion budget surplus from the United States Treasury in June 2025 has surprised economists and traders alike. 

The surplus, largely driven by a jump in customs duties, marks the first for June since 2017. While some view it as a brief fiscal pause, others see it as a confidence boost, particularly for risk-on markets. 

In parallel, a politically charged crypto narrative is unfolding, centred around World Liberty Financial (WLFI) and its stablecoin USD1, backed by U.S. President Donald Trump.

A Surplus No One Expected: What Changed in June?

For most of the year, U.S. government spending has vastly outpaced its income. In May alone, the federal deficit stood at $316 billion. This made June’s turnaround even more striking. 

According to the Treasury, receipts totalled nearly $27 billion more than outlays, delivering a rare surplus that surprised analysts and markets.

US Surplus.jpg

So, what changed? The most notable factor was a 301% increase in customs duties compared to the previous June. 

This is tied to President Trump’s reinstated 10% tariffs on broad imports, part of his protectionist economic plan aimed at rebalancing trade. 

These tariffs were further reinforced with so-called reciprocal duties on selected trading partners. The result was $27 billion collected in customs income in June alone, compared to just $6.7 billion in the same month last year.

This boost in revenue came alongside a 7% decrease in government outlays, largely due to the absence of temporary stimulus payments and some deferred spending. 

Receipts also grew 13% overall compared to last June, signalling a better-than-expected tax collection performance and stronger business activity in select sectors.

Even with this surplus, the bigger picture remains cautious. The year-to-date fiscal deficit still sits at $1.34 trillion. 

Net interest payments on the national debt in June alone were $84 billion. These payments are expected to reach $1.2 trillion by the end of the fiscal year, making them one of the largest government expenses after Social Security.

Yet markets do not always react to long-term projections. Traders tend to respond to momentum, changes in direction, and narrative shifts. 

A surprise surplus during a year of mostly red ink sends a short-term message: the economy may still have tools to adjust course. When combined with a favourable political backdrop, that optimism can spill over into the crypto space.

Read also: Is the US Government Secretly Buying Bitcoin?

Bitcoin Eyes $120,000 as Market Sentiment Turns Bullish

Crypto markets have been buoyed by the shift in tone. Bitcoin currently trades around $117,000 to $118,000, and all eyes are on the psychological and technical resistance at $120,000. 

This price level has acted as a ceiling during previous rallies and may determine whether Bitcoin pushes into a new growth phase or consolidates.

Several factors have contributed to the recent bullishness:

  • The US surplus gave risk assets a push, with traders speculating that government finances may be improving, at least temporarily.

  • Market participants expect the Federal Reserve to cut interest rates in September, which would further support speculative investment.

  • A general trend of capital rotating into high-volatility assets has benefited Bitcoin, Ethereum, and meme tokens alike.

At the same time, analysts caution that the $120,000 mark will not break easily. It is seen as a resistance zone not only due to price memory but also because many leveraged positions may unwind near this point. 

Traders are watching for strong volume, consistent closes above $120,000, or a news catalyst to drive a breakout.

This is where stablecoins and political crypto come in. The market is increasingly reacting to narratives tied to regulation, centralised finance, and now presidential influence, and no project has captured that combination quite like USD1.

Read also: USD1 Trading Pair Now on Bitrue, the First CEX to Offer it

WLFI, USD1, and the Political Future of Stablecoins

The launch of USD1 in May 2025 marked the beginning of what many now call the "Trump crypto era." Issued by World Liberty Financial (WLFI), USD1 is a dollar-pegged stablecoin fully backed by the U.S. 

Treasuries and cash equivalents. It is available across Ethereum, Binance Smart Chain, and TRON, with monthly proof-of-reserve reports published for transparency.

But it is not just another stablecoin. USD1 is deeply entwined with Trump’s economic and digital strategy. 

The President has publicly praised it as a sovereign digital alternative to foreign-backed coins. His sons are involved in WLFI, and the stablecoin has quickly gained traction through partnerships with exchanges and private capital.

However, controversy followed closely. A July Bloomberg report accused Binance of developing the smart contract infrastructure behind USD1, citing three anonymous sources. 

It also suggested that 90% of all USD1 sits in Binance wallets, potentially generating passive income for the Trump family through interest.

CZ Sue.jpg

CZ, the founder of Binance, immediately denied the claims, calling the article a “hit piece” sponsored by a competitor. 

He has threatened legal action and compared this episode to previous defamation battles with Bloomberg and other outlets. The crypto community broadly rallied behind him, citing a history of biased reporting and failed lawsuits from Bloomberg’s side.

Despite the drama, USD1 continues to expand. Its use cases include cross-border payments, DeFi lending, and stable settlement within capital markets. 

WLFI aims to make USD1 available at retail checkout and through an upcoming app-based wallet. Whether or not these plans materialise, USD1 is already making an impact.

This is more than just another token launch. USD1 symbolises a merging of politics, economic policy, and digital finance. 

For traders, that means watching both blockchain activity and government headlines. WLFI may become the model for politically aligned stablecoins, especially if Trump strengthens his control over digital policy during the remainder of his term.

Read also: World Liberty USD1 Power Piggy Staking Explained

Bitrue Becomes the Go-To Exchange for USD1 and Political Crypto

In this market environment, traders need more than just awareness, they need access. Bitrue has emerged as one of the first centralised exchanges to fully support USD1 trading pairs

It offers both liquidity and security, making it a preferred entry point for those looking to buy, sell, or hold USD1 in a regulated environment.

USD1 Bitrue.jpg

USD1 is now live on Bitrue and Bitrue Alpha, with pairs available against USDT, BTC, and other assets. This gives traders the flexibility to enter positions quickly or shift into USD1 for stability when volatility rises.

Bitrue Alpha, in particular, is valuable for early-stage opportunities. Many tokens with strong political or meme narratives appear here before reaching larger platforms. 

Traders who monitor Bitrue Alpha regularly have historically benefited from early access to tokens that later gained wider popularity.

Beyond USD1, Bitrue offers features such as staking, futures, spot trading, and earn products. This ecosystem allows you to adapt your strategy based on market conditions. 

Whether you are riding Bitcoin’s rally, hedging against a downturn, or seeking safe yield on stablecoins like USD1, Bitrue provides the necessary tools.

Bitrue has also launched a targeted campaign to promote USD1’s availability. This includes user guides, trading competitions, and announcements via the Bitrue blog. 

It reinforces Bitrue’s positioning as a forward-facing platform aligned with both market trends and emerging narratives.

As more politically backed projects come online, exchanges that support these ecosystems early will likely see increased user demand. Bitrue is already ahead of the curve in that regard.

Read also: Is Bitrue Alpha Worth It? Give it A Try Now

Conclusion

The US Treasury’s June surplus may not signal a long-term recovery, but it has lifted sentiment in both traditional and crypto markets. 

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At the same time, the rise of USD1 and WLFI represents a new era of politically aligned stablecoins, combining regulatory influence with blockchain accessibility. 

Traders now find themselves at the intersection of fiscal change, presidential policy, and market resistance, especially with Bitcoin hovering around $118,000 and aiming for $120,000. 

Platforms like Bitrue and Bitrue Alpha offer a practical and secure way to navigate these complex narratives, providing early access to USD1 and other strategic tokens. In this climate, being early, informed, and well-positioned is the only way to keep pace.

Read also: How to Buy Coins on Bitrue Alpha: A Simple Guide

Frequently Asked Questions

Why did the US post a budget surplus in June 2025?

The surplus came from a surge in customs duties and reduced government spending. Tariffs introduced by President Trump significantly boosted revenue for the month.

What is USD1, and how is it different from other stablecoins?

USD1 is a US dollar-backed stablecoin issued by WLFI. It is fully collateralised by U.S. Treasuries and promoted by the Trump administration as a national alternative to foreign-backed stablecoins.

Why is USD1 linked to controversy?

A Bloomberg report claimed Binance developed its infrastructure. CZ denied involvement and is considering a defamation lawsuit, adding political weight to the project’s narrative.

Can I trade USD1 on Bitrue?

Yes, USD1 is live on Bitrue and Bitrue Alpha with trading pairs available across multiple assets. It is also part of Bitrue’s featured campaign for emerging digital dollar alternatives.

How does WLFI fit into the crypto space?

WLFI is building a politically endorsed crypto ecosystem. It includes USD1 and plans for lending, borrowing, and retail payments, aiming to combine governance influence with decentralised finance.

Investor Caution 

While the crypto hype has been exciting, remember that the crypto space can be volatile. Always conduct your research, assess your risk tolerance, and consider the long-term potential of any investment.

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Disclaimer: The views expressed belong exclusively to the author and do not reflect the views of this platform. This platform and its affiliates disclaim any responsibility for the accuracy or suitability of the information provided. It is for informational purposes only and not intended as financial or investment advice.

Disclaimer: The content of this article does not constitute financial or investment advice.

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