Overview

• ALT5 Sigma raised $1.5 billion in a registered direct offering and private placement led by World Liberty Financial, receiving $750 million of WLFI tokens to hold about 7.5 percent of the 100 billion supply.
• The transaction appointed WLFI cofounder Zach Witkoff as ALT5 chairman and added Eric Trump to the board, formalizing executive ties between the public company and the Trump-backed token.
• Kraken was named to oversee ALT5’s WLFI holdings, institutionalizing asset management for a token that only recently won holder approval for limited tradability.
• ALT5’s share price plunged more than 26 percent to $6.60 as investors voiced skepticism over concentrated exposure to a token not yet widely tradeable.
• Investors and lawmakers have raised conflict-of-interest and regulatory concerns over the Trump family’s crypto strategy ahead of the token’s broader trading rollout.