Trump-Backed WLFI Loses $110M as ETH Drops 36.5%

The World Liberty Financial Initiative (WLFI), backed by former U.S. President Donald Trump, has incurred a substantial loss of $110 million in its cryptocurrency portfolio due to the recent downturn in the crypto market. The initiative had initially allocated $336 million across nine different crypto assets, but the value of the portfolio has since plummeted to $226 million. Ethereum (ETH), which constitutes 65% of WLFI’s holdings, has been the most severely impacted. The ETH tokens were purchased at an average price of $3,240 per token, but the current trading price of around $2,059 has resulted in a significant depreciation, contributing largely to the overall loss.

An examination of one of WLFI’s wallets reveals a diverse range of crypto holdings. Ethereum (ETH) holds 7,516 tokens valued at $15.53 million, showing a 5.3% decrease in the past day. Tether (USDT) holds 13.59 million tokens, which remain stable. Wrapped Bitcoin (WBTC) holds 162.69 tokens valued at $13.36 million, down 4.11%. Staked Ethereum (STETH) holds 4,974 tokens worth $10.27 million, down 5.43%. Tron (TRX) holds 40.718 million tokens valued at $9.54 million, down 2.95%. WHITE Tokens hold 10 billion tokens worth $5.99 million, experiencing the steepest drop of 24.17%. AETHUSDC Stablecoin holds 5.013 million tokens, with the value remaining unchanged. MOVE Tokens hold 7.581 million tokens worth $3.54 million, down 6.6%. Despite these losses, WLFI maintains stablecoin reserves, which may serve as a hedge against market volatility.

WLFI’s recent financial setback follows a significant buying spree on January 20, 2025, coinciding with Donald Trump’s inauguration. During this period, the initiative acquired 14,403 ETH at $3,333 per token, 94.94 WBTC for $9.84 million