World Liberty Financial (WLFI), a decentralized finance project associated with former President Donald Trump, has made a significant move by burning 7.89 million WLFI tokens, equivalent to approximately $1.43 million. This action follows a strategic buyback where the project invested $1.06 million in repurchasing tokens from various chains.
According to data sourced from Lookonchain, WLFI successfully accumulated 4.91 million tokens, valued at about $1.01 million, alongside generating $1.06 million from liquidity and fees tied to its DeFi initiatives. The funds were then directed towards the repurchase of 6.04 million WLFI tokens from the open market.
Subsequent to the buyback, WLFI burned the 7.89 million tokens on both the BNB Smart Chain and Ethereum networks. Currently, 3.06 million tokens, valued at approximately $638,000, remain unburned on the Solana blockchain, awaiting future decisions by the team.
This move comes in the wake of a notable decline in WLFI’s market price, which has seen a 33% decrease within the last month. As of the latest market data, WLFI is trading at $0.2049, reflecting a modest increase of over 6% in the past day. However, the token is still down more than 38% from its peak value earlier in the year.
The token burn aligns with a governance proposal approved earlier this month, where 99% of WLFI holders voted in favor of a token-burning strategy. As part of this initiative, fees generated from regulated liquidity pools will be utilized for purchasing tokens, which are then permanently eliminated from circulation via burning. The WLFI team emphasized that only fees from pools under WLFI’s management will contribute to this process, excluding community and third-party liquidity pools.
There have been discussions within the community regarding the potential daily burn rate, with some blockchain analysts suggesting that the program could lead to the burning of 4 million WLFI tokens each day, which would account for nearly 2% of the total supply annually. Nevertheless, precise details regarding the burn rate remain undisclosed, fostering ongoing engagement and anticipation among holders.
In related developments, it has been reported that an entity closely linked to Donald Trump and his family possesses approximately $5 billion in WLFI tokens. This follows a recent unlock of 24.6 billion tokens, further fueling interest in the project. The initial holders, listed on the firm’s official website, include members of the Trump family, such as Donald Jr., Barron, and Eric, who collectively hold 22.5 billion WLFI. Following the token unlock, the price peaked at $0.40 before settling around $0.21.
The WLFI project continues to navigate the evolving landscape of decentralized finance, marked by its unique ties to high-profile figures and ongoing market fluctuations. The implementation of a token buyback and burn strategy indicates an active approach to managing token supply and fostering community engagement.
