WLFI's first unlock targets presale users, with an estimated initial circulation of 3.14-3.69 billion tokens, about 3.14-3.69% of supply. At a pre-market price of $0.2681, WLFI's initial circulating market cap is projected between $841.8M and $989M. The token distribution plan includes token sales, community growth and incentives, co-founder shares, team and advisor shares, and a total supply of 100 billion WLFI tokens.
World Liberty Financial (WLFI), a decentralized finance (DeFi) project tied to the Trump family, has proposed a governance initiative to implement a token buyback and burn program using protocol-owned liquidity (POL) fees. The proposal, if approved, aims to reduce the circulating supply of WLFI tokens, enhance token scarcity, and increase the relative ownership percentage of committed long-term holders [1].
The proposal details the use of 100% of POL fees generated from the platform’s liquidity positions across Ethereum, BNB Chain, and Solana to buy back WLFI tokens from the market and permanently destroy them through burning. This mechanism, if implemented, would reduce the circulating supply of WLFI tokens, which started trading on exchanges on Monday.
The token burn is intended to address the recent price volatility experienced by WLFI, which has fallen around 36% from its peak of $0.331 to a low of $0.210. The burn program aims to remove tokens from circulation held by participants not committed to WLFI’s long-term growth and direction, effectively increasing the relative weight for committed long-term holders [1].
The proposal favors going all-in on burning, instead of splitting between treasury operations and burn. According to WLFI ambassador "Tespmoore," alternative options like a 50/50 split were considered but not chosen [1].
Uncertainties in the proposal include the actual fee amounts, making it difficult to estimate the burn impact on supply. Additionally, there is no contingency plan for what would happen if the treasury needed emergency funds after committing 100% of the fees to burning [1].
WLFI's initial unlock targets presale users, with an estimated initial circulation of 3.14-3.69 billion tokens, about 3.14-3.69% of supply. At a pre-market price of $0.2681, WLFI's initial circulating market cap is projected between $841.8M and $989M. The token distribution plan includes token sales, community growth and incentives, co-founder shares, team and advisor shares, and a total supply of 100 billion WLFI tokens [2].
References:
[1] https://cointelegraph.com/news/world-liberty-financial-proposes-token-buyback-and-burn-program-using-fees?utm_campaign=rss_partner_inbound&utm_medium=rss&utm_source=rss_feed
[2] https://www.bitget.com/wiki/world-liberty-financial-wlfi-purchase-guide
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