Former President Donald Trump did not address the details of World Liberty Financial, his family’s new cryptocurrency platform, during a recent livestream event on X. Despite promoting the event as a “State of Crypto address,” Trump focused more on his recent personal experiences rather than the specifics of his new crypto project.
In the live stream on September 16th, Trump appeared as the guest of the presentation conducted in his name by crypto promoter Farokk Sarmad. He spoke for approximately 45 minutes, and the topic of cryptocurrency was only mentioned in passing. His comments, though, did not provide information on World Liberty Financial or its token, WLFI.
WLFI Token to Be Used for Governance Only, No Trading, Team Reveals
After Trump’s performance, the World Liberty Financial team offered insights into the WLFI token, a cryptocurrency. As Folkman stated, the WLFI tokens to be issued within the project’s framework will not be standard tokens, and their holders will not be able to transfer them to other users; they will be mainly used as governance tokens. This means they can submit and pass resolutions about the platform but will not serve the purpose of trading or making an investment.
Folkman also said that WLFI token sales to US citizens will be limited to certified investors because of the legal ambiguity regarding token sales in the United States. This decision is also intended to observe the provisions of U.S. federal securities laws regarding the eligibility of participants to engage in exempted transactions.
For non-U.S. participants, token sales will also be regulated by the restrictions mentioned earlier, if any. Folkman noted that WLFI token distribution would be reasonable, as about 63% of the total tokens will be available for sale to the public. The tokens will be distributed to the various parties involved: the platform’s team and advisers, 20%, and the users, approximately 17%.
This was contrary to earlier revelations that the company would be allocating a large number of shares to the team before they began selling their stock to the public. The project, defined as decentralized finance, or DeFi, focused on borrowing and lending, has not been fully explained. It is expected to contain credit systems based on the DeFi app Aave and also intends to introduce stablecoin usage.
Though Trump has previously dismissed the value of cryptocurrencies, he has recently become more involved in the crypto sphere, selling NFT collections and accepting crypto donations for his campaign.
