Fidelity Investments, managing assets worth $6 trillion, is in the advanced stages of testing its own stablecoin, according to reports from the Financial Times and other sources. The stablecoin is designed to serve as digital cash within the cryptocurrency markets and will be managed by Fidelity's digital assets arm. However, a spokesperson for the firm has stated that there are no immediate plans to launch the product. In a parallel development, World Liberty Financial (WLFI), a cryptocurrency venture backed by U.S. President Donald Trump, has announced the launch of USD1, a new stablecoin fully backed by U.S. dollar reserves and short-term U.S. government securities. The USD1 stablecoin will be available on both the Ethereum and Binance Smart Chain blockchains. These moves come amidst a growing interest in stablecoins, with the market currently valued at nearly $250 billion. The sector has seen increased attention from both traditional financial institutions and regulatory bodies, with President Trump advocating for clearer rules to support the growth of dollar-backed stablecoins.