The following content is released by the JuCoin Labs Crypto Research Institute:
Recently, the Trump family’s crypto project World Liberty Financial (WLFI) has attracted widespread attention in the crypto market. As a crypto-financial project launched by the Trump family, WLFI has sparked heated discussions among investors due to its political, financial, and technological implications.
In 2025, with Trump reemerging on the political stage, the market potential and risks carried by WLFI are drawing significant focus. This report provides an in-depth analysis of WLFI’s core mechanism, token functions, holding status, and market outlook.
1. Overview of WLFI
World Liberty Financial (WLFI) is a crypto project initiated by the Trump family. Its aim is to integrate traditional financial services with blockchain technology, providing global users with decentralized financial solutions via an innovative financial platform. Compared with other crypto projects, WLFI’s greatest advantage lies in the political and economic resources of the Trump family behind it, which gives WLFI a certain degree of brand recognition and influence in the market. However, WLFI’s core objectives and actual use cases remain to be further validated.
It is noteworthy that WLFI is somewhat controversial, mainly due to the involvement of Trump family members. The official website states that Trump is listed as the Chief Crypto Currency Advocate, while his three sons have been appointed as Web3 Ambassadors. Nonetheless, the website clearly indicates that any members related to Trump are not considered senior executives, directors, or employees of WLFI.
2. Key Features and Mechanisms of WLFI
WLFI’s core mechanisms focus on two main aspects:
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Decentralized Finance (DeFi) Product Development
WLFI plans to develop a series of decentralized financial products, especially a lending platform. Although these products have not been officially launched yet, WLFI intends to build a lending platform based on Aave V3’s code, indicating its commitment to creating DeFi solutions that better meet market needs. In addition, WLFI has reached an agreement with Ethena, and is expected to introduce an income-generating stablecoin, sUSDe, which will further enhance its competitiveness in the crypto market. -
Crypto Asset Investment
WLFI is not only dedicated to building innovative financial products but is also actively investing in crypto assets. Currently, the market value of WLFI’s crypto asset holdings has surpassed $400 million, and with the backing of the Trump family, WLFI’s asset portfolio is continuously growing. At present, WLFI’s holdings include multiple tokens such as ETH, AAVE, and LINK.
3. WLFI Token Functionality and Governance Mechanism
The design of the WLFI token is different from that of typical cryptocurrencies. The official framework sets multiple restrictions to ensure the project’s stability and long-term development. The main features of the WLFI token are as follows:
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Token Transfer Restrictions
In its initial stage, WLFI tokens are non-transferable, meaning that holders cannot sell or trade the tokens. This measure is intended to prevent excessive market speculation and avoid negative impacts on the project from price volatility. Future permission for token transfers will be decided through community voting to ensure transparency and fairness. -
Token Lock-Up Period
After the token sale is completed, WLFI tokens will undergo a 12-month lock-up period, meaning that they cannot circulate during this period. This measure will effectively control market supply and demand, preventing dramatic short-term fluctuations and speculation, thus ensuring stable project development. -
Lack of Secondary Market Liquidity
WLFI does not intend to create a secondary market for its tokens, nor will it provide liquidity on decentralized (DEX) or centralized exchanges (CEX). The core purpose of this design is to avoid excessive price volatility, prevent market hype, and protect investor interests. -
Profit Attribution
Notably, all profits generated by the WLFI project ultimately belong to the Trump family. This design ties both the risks and returns of the WLFI project closely to the economic interests of the Trump family.
Currently, the sole function of the WLFI token is to serve as a governance token, granting holders the right to participate in project decision-making. Through the token, holders can vote on the future development direction and key decisions of the project.
4. WLFI’s Current Asset Holdings
According to data from ARKM, as of February 2, 2025, the on‑chain holding value of WLFI has exceeded $400 million, with a current value of $406,470,008. However, it is noteworthy that WLFI’s overall holdings are in a floating loss state, with a current unrealized loss of approximately $17.92 million.
Below are the top eight tokens held by WLFI along with their current market values:
- ETH: 66.7K tokens, market value approximately $200 million, accounting for about 50%.
- WBTC: 646.7 tokens, market value approximately $60 million.
- STETH: 19.4K tokens, market value approximately $59 million.
- USDC: 46.69M tokens, market value approximately $46 million.
- TRX: 40.7M tokens, market value approximately $9.8 million.
- LINK: 256K tokens, market value approximately $5.7 million.
- AAVE: 19K tokens, market value approximately $5.57 million.
- ENA: 5.78M tokens, market value approximately $3.77 million.
Recently, WLFI has increased its holdings of ETH. In addition, according to data from Nansen, a newly created multi-signature wallet by WLFI increased its holdings by 200 million WLFI tokens on February 1, 2025.
5. Summary
As a crypto-financial project launched by the Trump family, WLFI has garnered extremely high attention and potential, but it also comes with considerable risks. From the current situation, the market attributes and technical value of the WLFI token have yet to be fully validated and remain largely a target for market speculation.
However, with the backing of the Trump family’s political resources, WLFI may gain more opportunities in the future market, particularly in terms of its political background, family influence, and market promotion. Investors should remain vigilant, assess its inherent high risks, and make flexible decisions based on market changes.
Neason Oliver
