Trump-Backed DeFi Project Denies Token Sales Amidst Swap Rumors

World Liberty Financial, a decentralized finance (DeFi) project backed by the Trump family, has denied rumors that it has sold any of its WLFI tokens. In a recent statement, the company clarified that it is not pursuing token swaps with other blockchain projects, despite acquiring their tokens recently. Instead, World Liberty Financial stated that it is simply managing its crypto holdings as part of routine treasury operations, covering fees, expenses, and addressing working capital needs.

World Liberty Financial's current crypto holdings are valued at $373 million, with major stakes in Ether and Wrapped Bitcoin. The company has been under scrutiny for alleged illegal token sales and preferential deals with investors. However, World Liberty Financial has denied these allegations, stating that its routine asset reallocations have been misunderstood as fraudulent token sales.

Despite the denials, a recent report suggested that World Liberty Financial swapped around 10 million worth of tokens against other blockchain asset tokens, charging a flat 10% fee for the transaction. The company is also facing concerns about its relationship with specific investors and crypto projects, with some investors alleging preferential treatment.

World Liberty Financial's future remains uncertain as it grapples with these controversies. The organization aims to complete its planned launch within Q3, 2025, but must first address the ongoing allegations. The project, which allows crypto holders to earn interest through various DeFi protocols and borrow against their assets, has faced criticism from Trump's former White House communications director and billionaire investor Mark Cuban.