Trump-backed World Liberty Financial nets $550M in token sales

World Liberty Financial, a decentralized finance (DeFi) project backed by the Trump family, has completed its second public token sale, raising $250 million from investors.WLFI launched on Sept. 16, 2024, with the goal of promoting DeFi and stablecoins pegged to the US dollar. The project is endorsed by President Donald Trump and his sons — Eric, Donald Jr. and Barron — who have positioned it as a step toward financial innovation and a shift away from traditional banking.The company has now raised about $550 million by selling 25% of the crypto asset’s total supply. Its first token sale, which opened on Oct. 15, 2024, netted the company about $300 million by selling 20 billion WLFI tokens for $0.015 each. On Jan. 20, the company announced another round of token sales “due to massive demand and overwhelming interest,” offering 5 billion tokens at $0.05 each — a 230% price increase from the first sale. The sale, completed on March 14, met its full target of $250 million.WLFI raised over $590 million since launchEven before the public token sales, the company had been attracting investment from crypto executives. On Nov. 25, 2024, Tron Founder Justin Sun announced a $30 million investment in WLFI. Etherscan data shows Sun received 2 billion WLFI tokens in return at $0.015 a piece. On Jan. 27, investment platform Web3Port announced a $10 million investment into the crypto project. The company said it plans additional purchases and is exploring a “long-term partnership” with the DeFi project. On Feb. 11, venture capital firm Oddiyana Ventures announced a strategic investment in World Liberty Financial. However, the company did not disclose how much it invested. Related: Democrat lawmaker urges Treasury to cease Trump’s Bitcoin reserve plansWLFI faces community concerns over legitimacy and business modelWhile the company has raised over half a billion dollars, some crypto community members voiced concerns about whether it offers innovation or is just another cash grab.  In an X post, 6MV managing partner Mike Dudas said the project was a “pay-to-play” scheme, not a DeFi gateway that would introduce new users to crypto. Yearn.finance creator and Sonic Labs co-founder Andre Cronje also questioned the company’s high fees and reinvestment strategies. The executive said the company simply extracts value from crypto firms rather than providing utility. WLFI has not publicly addressed these criticisms.Magazine: Trump’s crypto ventures raise conflict of interest, insider trading questionsWeiter zum vollständigen Artikel bei Cointelegraph Weiter zum vollständigen Artikel bei CointelegraphWeiter zum vollständigen Artikel bei Cointelegraph Weiter zum vollständigen Artikel bei CointelegraphWeiter zum vollständigen Artikel bei Cointelegraph Weiter zum vollständigen Artikel bei Cointelegraph