The Trump family’s wealth has taken a formidable leap into the digital realm, prominently marked by the recent launch of the WLFI token by World Liberty Financial (WLF). On Monday, the company unlocked 24.6 billion tokens, establishing an initial circulating supply that briefly elevated WLFI’s price to $0.40 before settling around $0.21.
Trump Family’s WLFI Stake Tops $6B
This historic launch represents WLFI’s public debut, enabling it to be traded on various exchanges. In the opening hours, the trading was brisk, with approximately $1 billion worth of tokens exchanged. Reports from the Wall Street Journal indicate that WLFI’s price on Binance varied between $0.24 and $0.30. At this peak valuation, the Trump family’s stake was estimated to exceed $6 billion.
Cryptocurrency has now emerged as the predominant asset class within the First Family’s financial portfolio. In addition to WLFI, affiliated entities control around 80% of TRUMP, a meme coin valued in the billions. Furthermore, a trust owned by the Trump family holds more than 50% of Trump Media, the entity behind Truth Social, with its investment in cryptocurrencies valued at approximately $2.5 billion.
The project has proactively implemented measures to bolster the WLFI token’s market position. Earlier this summer, WLF acquired a publicly listed company and successfully raised $750 million to enhance its cryptocurrency holdings. This strategic move potentially positions them to generate around $500 million, as they retain a substantial majority of revenues from token sales.
Nonetheless, critics have voiced apprehensions regarding World Liberty Financial’s potential to influence the Trump family, especially considering that its growth appears dependent on partners and investors seeking proximity to political power. For instance, following a period of underperformance in fundraising, the company received a $75 million investment from Justin Sun, who has recently come under SEC scrutiny but managed to pause the ongoing case against him.
In response to these concerns, White House press secretary Karoline Leavitt asserted that “neither the president nor his family have ever engaged, or will ever engage, in conflicts of interest.” Moreover, the project’s chief executive, Zach Witkoff, clarified that WLF is a private enterprise unconcerned with political affiliations.
WLF Users Report Token Thefts in Phishing Attacks
On a different note, the WLFI project faces pressing security issues, as multiple users have reported token thefts due to phishing attacks. One user on X, operating under the handle FUGUIHK, recounted the distressing experience of a friend whose MetaMask wallet was compromised, leading to the complete loss of assets.
The account detailed how, after transferring minimal Ether and U to the compromised wallet, funds were instantly redirected to the attackers’ accounts. It was observed that transferring tokens in or out of the WLFI lockbox required gas fees, which were also seized by the hackers.
In commentary on the situation, the founder of blockchain security firm SlowMist elucidated that these incidents stem from a classic EIP-7702 phishing exploit. The vulnerability arose from the exposure of the victim’s private key, which enabled attackers to establish a malicious exploit linked to the wallet address.
Consequently, any attempts to transfer remaining tokens, including those secured in the lockbox contract, would automatically re-route assets to the malicious actors. In a follow-up post, the security expert noted that these occurrences reflect a broader trend of scams targeting WLFI token holders.
The discussion surrounding the Trump family’s significant leap into cryptocurrency encapsulates both opportunities and challenges, marking a pivotal moment in their financial evolution.
