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WLFI repaid a $25 million loan and today minted an additional USD 1 worth of equivalent tokens, with a net increase of 22 million in circulation.
ME News message, April 13 (UTC+8), according to Arkham Data, World Liberty Financial (WLFI) today minted an additional 25 million units of USD1 via BitGo Custody and burned 3 million units via the TokenGovernor contract, resulting in a net increase of 22 million units of USD1 in circulation. The minting amount in this instance is exactly the same as the loan repayment amount WLFI claimed a few days ago. Previously, WLFI used a large amount of governance tokens as collateral to borrow stablecoins on the DeFi lending protocol Dolomite, which caused the USD1 lending pool utilization on that platform to approach 100%, preventing other depositors from withdrawing normally. For the reasons behind this burn and the specific use of the newly minted tokens, WLFI did not disclose. (Source: Foresight News)