Particle.news

Download on the App Store

WLFI Slides After Frenzied Debut as Token Burn and Insider Stakes Draw Fire

A larger-than-expected initial float has cooled enthusiasm despite a modest token burn.

Overview

  • WLFI now trades roughly 25% below its opening price and about 50% under its intraday peak, leaving the market value near $5–5.7 billion after a blockbuster first day of more than $4 billion in volume.
  • World Liberty Financial executed a 47 million WLFI burn and put forward a buyback-and-burn plan funded by protocol liquidity fees to tighten supply.
  • A late disclosure that about 24.67 billion tokens would circulate at launch—well above what many traders anticipated—rattled confidence and was followed by a sharp pullback.
  • Project documents show concentrated holdings, including 22.5 billion tokens tied to the Trump family entity DT Marks DEFI and 7.78 billion allocated to ALT5 Sigma’s treasury, as on-chain data flagged presale wallets moving tokens to exchanges with a 20% selling allowance.
  • Sen. Elizabeth Warren labeled the family’s multibillion-dollar paper gains “corruption,” critics raised conflict-of-interest concerns, and the White House rejected wrongdoing while ethics experts noted the president’s exemption from standard conflict-of-interest laws.