crypto-news-flash.com
- The Donald Trump-affiliated World Liberty Financial has revealed the tokenomics for its WLFI token.
- Ahead of the official launch, users are advised to stay vigilant against scams.
Team members behind World Liberty Financial, a crypto project backed by former US President Donald Trump, have confirmed the potential launch of a governance token, WLFI. The team gave the information during an X-Spaces interview, highlighting critical aspects like tokenomics and regulatory clarifications.
Features and Tokenomics of the WLFI Token
Zack Folkman, the platform’s operations lead, said the US Securities and Exchange Commission (SEC) will regulate the WLFI token. The token will be sold only to accredited investors under the Regulation D exemption from the SEC.
Regulation D exemptions enable businesses to raise capital without registering securities with the SEC upon meeting certain requirements. This is usually done by selling shares to accredited investors or in limited, private offerings.
One notable feature of the WLFI token is that it is not transferable and provides no economic rights to holders. During the live stream, the team declared a desire for buyers who aspire to participate in governance, not those after financial gain. However, the token will allow the Trump-family-related crypto initiative to offer lending services on the Ethereum (ETH) network.
Regarding distribution, 63% of WLFI’s total supply will be sold to the public, with no pre-sales or early buy-ins. Additionally, 17% set aside for user rewards. Thus, the remaining 20% will go towards team remuneration, which includes new hires and advisors.
The team did not reveal a launch date for the token during the session but did state that it would be announced via official social media platforms. The team advised crypto enthusiasts to avoid potential fraud until official confirmation of the token launch.
Their concerns stem from the hype around the project due to its affiliation with Donald Trump. As we discussed earlier, there have been reports of fraudulent WLFI airdrops meant solely for value extraction,
The Journey to World Liberty Financial
The journey toward World Liberty Financial began in August when Donald Trump shared a video on X featuring his flagship plan to make the US the crypto capital of the world.
As mentioned in our earlier article, research discovered that the audio was sampled from his famous 50-minute address at the Bitcoin 2024 conference in Nashville in July. However, he intentionally tagged World Liberty Financial in the tweet to convey a message.
Before then, Trump’s son Eric, overseeing the project with his brother Donald Trump Jr, had hinted at a big announcement. Days later, Donald Trump appeared in the New York Post and introduced the project as a DeFi platform.
The project has been met with mixed reactions from the crypto community. While some . welcome the daring move into digital finance, others have expressed skepticism about its long-term impact.
In a recent interview, Manuel Ferrari, Co-Founder of Money On Chain, advised users to focus on Bitcoin (BTC) instead of Trump’s World Liberty Financial.