Trump Family's Crypto Venture: 75% Revenue Share and No Liability

Generated by AI AgentAinvest Technical Radar
Thursday, Oct 17, 2024 4:46 pm ET1min read
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A recently released document has shed light on the Trump family's involvement in the World Liberty Financial (WLF) crypto project, revealing that they stand to receive 75% of the net protocol revenues and have no liability. This revelation raises concerns about power distribution, potential conflicts of interest, regulatory compliance, and investor confidence.

The 13-page document, dubbed the "World Liberty Gold Paper," outlines the mission and token allocation of WLF. It states that the Trump family will receive 22.5 billion "$WLFI" tokens, currently valued at $337.5 million, based on the price of 1.5 cents per token at launch. This significant revenue share, coupled with the lack of liability, has sparked debate about the distribution of power and decision-making within the project.

The Trump family's lack of liability raises questions about responsibility and accountability within the project. With no direct involvement as directors, employees, managers, or operators of WLF or its affiliates, the family's role remains unclear. This lack of liability could potentially lead to a lack of oversight and accountability, which may impact the project's success and investor confidence.

The document also specifies that the Trump family assumes no liability, indicating that they are not responsible for any losses or damages incurred by the project. This arrangement could create potential conflicts of interest, as the family stands to benefit significantly from the project's success while bearing no risk in case of failure.

Comparing the Trump family's revenue share with other crypto projects, it becomes apparent that the 75% allocation is significantly higher than industry standards. This raises concerns about the project's sustainability and the potential for market manipulation. Investors may be cautious about supporting a project with such a high concentration of revenue in the hands of a single entity, especially when that entity has no liability.

The Trump family's involvement and revenue share may also impact the project's regulatory compliance and public perception. As a high-profile political family, any association with a crypto project could attract scrutiny from regulatory bodies and the public. The lack of transparency and the family's significant revenue share may raise red flags, potentially leading to increased regulatory oversight or negative public perception.

In conclusion, the Trump family's 75% revenue share and lack of liability in the World Liberty Financial crypto project raise concerns about power distribution, potential conflicts of interest, regulatory compliance, and investor confidence. As the project progresses, it will be crucial for the Trump family and WLF to address these concerns and provide transparency to reassure investors and the public.

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