Trump's $6B WLFI Stake Unlocks as DeFi Wealth Grows

Generated by AI AgentCoin World
Sunday, Aug 31, 2025 7:21 am ET1min read
Aime RobotAime Summary

- Trump-linked DeFi project World Liberty Financial unlocks $483M WLFI tokens on Sept 1, raising market crash fears due to large early investor payouts.

- 5% of total supply (20% for early investors) will be released via Ethereum-based smart contracts, with remaining 80% governed by community and 22.5B tokens held by Trump's entity.

- Project claims $40B+ valuation at current prices, with Trump's 15.75B tokens valued over $6B - exceeding his Forbes-estimated net worth.

- Launch coincides with $167B+ DeFi growth and post-election regulatory shifts, while USD1 stablecoin and lack of conflict-of-interest provisions in new legislation draw scrutiny.

The upcoming unlocking of $483 million worth of WLFI tokens on September 1 has raised concerns among investors about the potential for a market crash reminiscent of Donald J. Trump’s 2016 presidential campaign finances. World Liberty Financial, a DeFi project linked to

, is set to release the first batch of its WLFI token through a controlled distribution mechanism called Lockbox. Early supporters who invested at $0.015 and $0.05 per token will be able to claim 20% of their holdings on that date, accounting for approximately 5% of the total supply [1].

The token, built on the

blockchain, will be transferred via a secure smart contract, requiring investors to connect their digital wallets to the official site to initiate the unlocking process. The remaining 80% of tokens will be governed by the community, emphasizing the project’s decentralized structure. Founders, advisors, and partners have locked their holdings to stabilize the market during the token’s initial liquidity period [1].

Cyfrin, a prominent Web3 security firm, has audited the smart contracts, ensuring compliance with industry standards. Presale wallets have also been verified to exclude non-compliant addresses, adding another layer of security to the project. WLFI is expected to debut on major exchanges such as Binance,

, and Hyperliquid, with official listings to be announced in the near future [1].

Behind the token is DT Marks DEFI LLC, a holding entity connected to Trump, which controls 22.5 billion WLFI tokens. At the current futures price range of $0.20–$0.30, the project’s fully diluted valuation exceeds $40 billion. Trump’s stake of 15.75 billion tokens is valued at more than $6 billion, surpassing Forbes’ estimated $5 billion net worth for the . This indicates a growing portion of Trump’s wealth is now tied to digital assets, including NFTs, memecoins, and major cryptocurrencies like

and Ethereum [1].

The ethical implications of Trump’s involvement have drawn criticism, particularly in light of the recently passed GENIUS Act, which regulates stablecoins but omits conflict-of-interest provisions. The simultaneous introduction of World Liberty’s stablecoin, USD1, has intensified scrutiny from lawmakers and raised questions about regulatory oversight [1].

The WLFI token’s launch comes amid broader DeFi expansion, with total value locked in decentralized finance platforms surpassing $167 billion. Post-election regulatory developments in the U.S. have created a more favorable environment for DeFi projects, drawing investor attention to initiatives with high-profile backing like WLFI [1].

Source:

[1] Trump to Launch $40B WLFI Token September 1 (https://finance.yahoo.com/news/trump-launch-40b-wlfi-token-155918167.html)