{"id":64229,"date":"2026-02-24T10:30:50","date_gmt":"2026-02-24T07:30:50","guid":{"rendered":"https:\/\/coinengineer.net\/blog\/?p=64229"},"modified":"2026-02-24T09:16:42","modified_gmt":"2026-02-24T06:16:42","slug":"trump-backed-usd1-hit-by-hack-and-short-attack","status":"publish","type":"post","link":"https:\/\/coinengineer.net\/blog\/trump-backed-usd1-hit-by-hack-and-short-attack\/","title":{"rendered":"Trump-Backed USD1 Hit by Hack and Short Attack"},"content":{"rendered":"

The crypto market started the week with an unexpected test of confidence. Trump World Liberty Financial<\/span><\/span><\/strong> (WLFI) announced on Monday morning that a coordinated attack had targeted its USD1 stablecoin. The company said attackers gained unauthorized access to co-founders\u2019 social media accounts, ran paid disinformation campaigns, and simultaneously opened large WLFI short<\/strong> positions. During the incident, USD1<\/strong> briefly dropped to $0.99707, but the deviation did not last and the stablecoin soon moved back toward its $1 level.<\/p>\n

At first glance, the price movement seems minor. Stablecoins often experience tiny fluctuations. But the real focus here is not just the price. It is the sequence of events happening at the same time. Account breaches, deleted posts, and coordinated short position claims. Individually, these details might seem ordinary. Together, they point to something more complex.<\/p>\n

These kinds of deviations sometimes resolve without notice. This time, however, it drew attention.<\/p>\n

\n
\n

Table of Contents<\/p>\nToggle<\/span><\/path><\/svg><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n

  • Social media accounts were compromised<\/a><\/li>
  • USD1 briefly lost ground<\/a><\/li>
  • Reserves and infrastructure remained secure<\/a><\/li>
  • Short position claims and market reaction<\/a><\/li>
  • Eric Trump detail drew attention<\/a><\/li>
  • USD1 returned near its peg<\/a><\/li><\/ul><\/nav><\/div>\n

    <\/span>Social media accounts were compromised<\/span><\/h2>\n

    According to WLFI\u2019s statement on X, attackers gained unauthorized access to several co-founder accounts. Posts made from these accounts spread quickly and created uncertainty among market participants. The project claimed the attackers also paid certain influencers to accelerate the spread of fear, uncertainty, and doubt.<\/p>\n

    In a follow-up clarification, WLFI emphasized that the attack was limited to social media access. Wallets, smart contracts, and protocol infrastructure were not affected. The system continued operating normally.<\/p>\n

    WLFI spokesman David Wachsman confirmed the attack involved multiple vectors, combining social media access with coordinated disinformation efforts. Despite this, the underlying infrastructure remained stable.<\/p>\n

    \n

    A coordinated attack was launched against USD1 this morning. Attackers hacked several WLFI cofounder accounts, paid influencers to spread FUD, and opened massive $WLFI<\/a> shorts to profit from the manufactured chaos.<\/p>\n

    It didn\u2019t work.<\/p>\n

    Thanks to USD1\u2019s sound mint-and-redeem mechanism\u2026<\/p>\n

    — WLFI (@worldlibertyfi) February 23, 2026<\/a><\/p><\/blockquote>\n