WLFI Token Faces September Unlock: Can Burns Offset $483M in New Supply?

WLFI token, affiliated with Trump's World Liberty Financial, experienced a high-profile launch, with its market cap initially exceeding $30 billion before adjusting to $4.3 billion. The project has introduced a buyback-and-burn program to manage token supply. Roughly 47 million WLFI tokens have been removed from circulation, representing 0.2% of the circulating supply. Derivative markets have seen significant activity, with futures open interest increasing by 50% in the past week. An upcoming unlock is expected to release tokens valued at $483 million, linked to early investor allocations.

World Liberty Financial's (WLF) native token, WLFI, experienced a high-profile launch on September 1, 2025, with an initial market cap exceeding $30 billion. The token, affiliated with former U.S. President Donald Trump, has since seen its market cap adjust to $4.3 billion following a significant price drop. The project has introduced a buyback-and-burn program to manage token supply, with 47 million WLFI tokens removed from circulation, representing approximately 0.2% of the circulating supply.

The WLFI token launch was marked by substantial trading activity, with derivatives markets recording a nearly 400% surge in volume on the day of the launch. The token experienced explosive volume, with notable on-chain moves and early traders capitalizing on launch volatility. The project has also seen significant market engagement, with the official address purchasing 6.5 million WLFI tokens shortly after launch, and a recent acquisition of 3.26 million WLFI tokens for $1 million during a major unlock event.

The WLFI token burn, executed on September 2, 2025, is a supply-reduction measure aimed at increasing scarcity and supporting price stability. The burn removed 47 million WLFI tokens from circulation, reducing the total supply by approximately 0.19%. This move follows a significant price decline, with the token down more than 31% from its launch peak.

World Liberty Financial has proposed a buyback-and-burn program funded by protocol-owned liquidity fees to increase token scarcity. The proposal has received majority approval from the community, with 133 respondents supporting the initiative. The buyback-and-burn program aims to raise the relative ownership percentage for long-term holders and enhance the token’s long-term viability.

The launch of WLFI has also created spillover effects in related markets, with the TRUMP memecoin experiencing nearly $1.5 billion in daily trading volume. The memecoin perpetual contracts performed even stronger, with almost $2.5 billion in daily volume.

Derivative markets have seen significant activity, with futures open interest increasing by 50% in the past week. An upcoming unlock is expected to release tokens valued at $483 million, linked to early investor allocations.

The World Liberty Financial project aims to deliver traditional finance products on-chain via Ethereum and Aave V3 integration. The WLFI token serves as the governance token, allowing holders to vote on protocol parameters and incentive programs. The project has also rolled out USD1, a fully reserved dollar-backed stablecoin, which is now live on multiple blockchains including Solana, Ethereum, BNB Chain, and Tron.

The World Liberty Financial project has garnered considerable investor interest, raising a total of $550 million during its presale phase. The project's launch positioned it as a venture with a notable market presence, achieving an initial valuation exceeding $30 billion.

References:
[1] https://www.ainvest.com/news/world-liberty-financial-wlfi-token-drops-16-65-24-hours-launch-volatility-2509/
[2] https://en.coinotag.com/world-liberty-financial-wlfi-undertakes-token-burn-as-possible-measure-to-curb-post-launch-price-decline/