U.S. President Donald Trump’s crypto project World Liberty Financial has proposed lifting restrictions that currently block its WLFI governance token from public trading. The move would open the token to centralized exchanges and unlock liquidity for early investors.
WLFI launched in 2024 as part of Trump’s push to connect digital assets to what he calls a “new financial freedom system.” Current estimates place the total WLFI supply at 100 billion tokens, with 63 billion sold during its public offering. Public filings show the project raised between $550 million and $615 million in that round. Blockchain records confirm that major crypto figures including TRON founder Justin Sun and DWF Labs took part in the early funding.
Trump’s Family Controls Majority of Locked WLFI Tokens
Roughly 60% of WLFI’s supply remains controlled by Trump’s family, close associates, and early backers through locked allocations. A separate whale purchase added to early accumulation: a single institutional buyer acquired roughly 400 million WLFI through an over-the-counter deal worth close to $40 million. Notably, the Trump family personally receives a large share of token revenue.
Pre-market trading shows WLFI changing hands on smaller exchanges like LBank, pricing near $0.6 with average daily volumes near $5 million.
Data from on-chain trackers and funding records confirms prominent crypto players helped fund WLFI’s initial round. TRON founder Justin Sun, DWF Labs, and parts of the TRON Foundation were among large buyers, alongside retail investors. The project’s OTC deals have continued as demand for liquidity grows inside private communities.
Plan Tests How Far Trump’s Deregulation Can Go
The team behind WLFI says removing the trading ban will expand access for new buyers and help raise capital for more product development. The token started as governance-only, meant for voting on project changes. Converting it into a freely tradable asset would mirror how other DeFi protocols, such as Uniswap’s UNI and MakerDAO’s MKR, evolved into liquid governance tokens.
The timing aligns with Trump’s campaign promises to cut the Securities and Exchange Commission’s oversight of crypto. The proposal’s language echoes calls to “free” WLFI from rules that limit its market.
Legal analysts say the plan tests the line between crypto tokens and traditional securities. The SEC’s Howey Test remains the standard for judging whether tokens qualify as unregistered investment contracts.
If the SEC enforces that standard, WLFI could face legal trouble for operating as an unregistered security. Analysts also note that the Commodity Futures Trading Commission could assert oversight if WLFI develops structured derivatives or futures around its asset.
So far, no major exchange has confirmed plans to list WLFI if the proposal passes.
Insiders Could Unlock Billions if Proposal Passes
Under the current plan, token holders are voting on whether to lift restrictions on transfers. If approved, a second governance round would determine how and when insider and Trump family holdings can be unlocked for sale.
Project forums indicate the first vote started in early July but no hard deadline has been shared publicly. Supporters expect the final count to close by mid-July, with implementation possible before the fourth quarter.
The plan comes as U.S. lawmakers discuss tighter ethics rules on politicians holding crypto assets. Several proposed bills could limit elected officials and their families from directly benefiting from new token sales. If passed, these rules could add hurdles to future expansions of WLFI and similar ventures tied to public figures.
