🔥|| Trump-Backed WLFI Project Proposes Aggressive Token Burn Amid 30% Price Drop

World Liberty Financial (WLFI), a decentralized finance project linked to the Trump family, has proposed a bold governance move to stabilize its struggling token. Following a sharp 30% price decline after launch, the project has floated a 100% buyback-and-burn strategy to reduce circulating supply and strengthen long-term holder value.

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✦ Proposal: 100% Protocol Fees for Buyback & Burn

WLFI governance suggested using all protocol-owned liquidity (POL) fees across Ethereum, BNB Chain, and Solana to buy WLFI tokens from the open market.

Purchased tokens will be permanently destroyed (burned), directly linking platform usage to token scarcity.

The approach aims to reward long-term holders by reducing the share of short-term sellers.

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✦ Market Reaction & Community Sentiment

Most community respondents welcomed the “all-in” burn proposal, seeing it as a way to counter bearish pressure.

WLFI ambassador Tespmoore noted that alternative models, such as splitting fees between treasury operations and burning, were considered but rejected in favor of maximum impact.

Critics highlighted uncertainties:

The actual fee amounts remain unclear, making burn impact hard to estimate.

With 100% of fees committed to burning, no contingency plan exists for potential treasury emergencies.

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✦ Token Unlock Boosts Trump Holdings

On launch day, WLFI unlocked 24.6 billion tokens, pushing the circulating supply to 27.3 billion out of 100 billion total.

This raised the Trump family’s collective stake to an estimated $5 billion in WLFI holdings.

The market capitalization currently stands at $6.6 billion.

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✦ Price Struggles After Debut

WLFI debuted at a peak of $0.331, but heavy short selling quickly drove prices down to $0.210 before recovering slightly.

At press time, WLFI trades around $0.229, down nearly 30% in a single day and 36% off its launch peak.

The proposed token burn is designed to combat sell pressure and restore investor confidence.

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✦ Outlook: Can Burning Save WLFI?

The proposed strategy could transform WLFI into a scarcity-driven token economy, rewarding holders aligned with the project’s long-term vision. However, questions remain:

Can fee-based burns alone counter market selling pressure?

Will zero treasury allocation pose future liquidity risks?

And most critically, will investors trust WLFI’s governance, given its politically high-profile backers?

As WLFI moves forward, its experiment with an aggressive burn mechanism could set a precedent for how politically tied crypto projects handle market turbulence.

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