Trump-Linked WLFI Token Enters Binance Amid Regulatory Scrutiny

Binance has announced the listing of World Liberty Financial (WLFI), a token tied to former U.S. President Donald Trump, with a “seed” tag applied to the listing. The decision follows the token’s public trading debut on September 1, 2025, alongside its inclusion on other major exchanges such as OKX. WLFI will be available for spot trading on Binance, joining high-leverage perpetual contracts that already trade on other platforms. The token’s listing on Binance is a significant development, as the exchange remains one of the most active in the cryptocurrency market.

WLFI is the governance token of World Liberty Financial (WLF), a decentralized finance (DeFi) platform launched in October 2024. WLF operates on Ethereum’s layer-2 infrastructure and uses Aave V3, a well-known lending and borrowing protocol. The platform has raised over $550 million from a private token sale, with 75% of the proceeds going to the Trump family. This initial offering was restricted to accredited investors, limiting access to high-net-worth individuals and institutions. The token sale marked one of the largest private placements in the crypto space in recent months.

Alongside WLFI, WLF has launched USD1, a stablecoin backed by U.S. Treasury securities and cash deposits. USD1 is already listed on Coinbase and other platforms, offering low-fee transactions and cross-chain liquidity. The stablecoin has attracted attention as a potential tool for institutional and retail users seeking dollar exposure within blockchain ecosystems. However, the stablecoin’s association with the Trump-backed DeFi project has sparked regulatory scrutiny and ethical concerns.

On September 1, 2025, WLFI tokens will be unlocked for public trading, with only 20% of the supply available at launch through a Lockbox mechanism. The mechanism requires investors to activate their allocations in advance, but technical issues have already emerged, with users reporting errors during the activation process. Perpetual futures for WLFI are already trading at approximately $0.42, projecting a fully diluted valuation of over $40 billion. This valuation implies the Trump family’s stake in the token could be worth billions.

The U.S. government, under Trump’s leadership, has also introduced the Genius Act, a regulatory framework for stablecoins requiring full reserve backing and transparency. While the law aims to enhance consumer protection, critics argue it disproportionately benefits projects with political connections, such as WLF. The Act’s passage in July 2025 has added regulatory clarity to the stablecoin market but has also raised questions about conflicts of interest.

WLFI’s listing on OKX and the broader market has already triggered significant liquidity, with a reported $483 million in market value. OKX has offered 50x leverage contracts for WLFI, attracting both retail and institutional traders. The platform’s listing follows similar moves by other exchanges, including Huobi and Binance, which are expected to amplify trading volumes. As WLFI gains visibility, industry observers are monitoring its performance and the potential impact of high leverage on market stability.

World Liberty Financial’s treasury has expanded significantly since its launch, with current holdings exceeding $97 million across major crypto assets such as USDC, WBTC, ETH, and USDT. The project has also announced plans for a $1.5 billion crypto-treasury initiative, signaling its ambitions to scale operations. However, concerns about centralization persist, as the Trump family reportedly holds the largest share of tokens, raising questions about governance control and decision-making transparency.

Source: [1] https://www.ccn.com/education/crypto/world-liberty-financial-beyond-the-hype/ [2] https://www.ainvest.com/news/okx-lists-world-liberty-financial-high-leverage-options-2509-97/