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- Trump-linked DeFi platform has denied claims that it’s liquidating its tokens
- The platform, World Liberty Financial, said that its moving the tokens to other wallets
- It described the movement as an “ordinary business” activity
Trump-linked DeFi platform, World Liberty Financial, has denied claims it’s selling its WLFI tokens to invest in other tokens. The platform said it’s moving its tokens to other wallets and “reallocating assets for ordinary business purposes,” adding that the actions are meant to improve the security of the tokens and boost its treasury’s efficiency. World Liberty Financial was responding to claims by Blockworks that it wants to swap its tokens with those of other crypto projects, which may help it venture deeper into the crypto world through collaborations.
Tokens Moved To Pay for “Fees and Expenses”
According to Blockworks, the DeFi platform was preparing to offload $10 million of its token and use the funds to buy other virtual currencies. The platform already holds $373 million worth of various cryptocurrencies like ETH, WBTC, USDC, AAVE, and UNI.
In an X post, the DeFi protocol said that part of the funds moved went into paying “fees […] expenses and to address working capital requirements.” World Liberty Financial cautioned the DeFi community against speculating noting that its actions are part of managing WLFI’s operations.
We’re making routine movements of our crypto holdings as part of regular treasury management, and payment of fees and expenses and to address working capital requirements. To be clear, we are not selling tokens—we are simply reallocating assets for ordinary business purposes.…
— WLFI (@worldlibertyfi) February 3, 2025
The platform disclosed that part of its token’s total supply is locked to be distributed to the community, adding that unclaimed tokens will be deposited in the WLFI treasury. Some in the crypto community asked the protocol to share a list of its addresses for them to improve transparency and allow users to have a “holistic view” of the project’s total assets.
Can we have the list of your addresses please? I would like to have holistic view on your total assets. Thank you
— kurama.eth ???????????? (@lukswim_eth) February 3, 2025
Justin Sun Is the Largest Investor
Last month, the platform disclosed that it had completed its mission of selling 20% of its token supply. It revealed it increased the amount of WLFI sold by 5% “due to massive demand.” Tron’s Justin Sun is the largest WLFI buyer. The Trump family has in the past disclosed that it will keep 75% of the project’s revenue
We’ve completed our mission and sold 20% of our token supply! Due to massive demand and overwhelming interest, we’ve decided to open up an additional block of 5% of token supply. Please be patient while our team works to relaunch the sale. We’ll share updates here as soon as…
— WLFI (@worldlibertyfi) January 20, 2025
With World Liberty Financial denying claims it’s liquidating its WLFI treasury, it’s to be seen whether on-chain sleuths will investigate the movement of the tokens.
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Philip Maina