Trump Family Launches New Crypto Venture, Experts Voice Concerns ⚠️
Former U.S. President Donald Trump and his family are entering the cryptocurrency space with the launch of World Liberty Financial (WLFI), a project centered on its own tradeable tokens expected to go live this September.
The initiative has already secured $1.5 billion through a partnership with ALT5 Sigma, a publicly traded company, where Eric Trump has recently joined the board.
Key Details:
WLFI Tokens: Unlike Bitcoin, these tokens will be pegged to a USD1 stablecoin and tradable upon launch.
Ownership Structure: The Trump family reportedly holds a significant share, retaining up to 75% of proceeds from token sales.
Critics’ Concerns: Analysts argue the model is designed to primarily benefit the Trump family while providing limited utility and unclear intrinsic value.
Expert Warnings:
Industry experts have raised red flags over the project’s sustainability. The strategy, which involves issuing new shares to acquire assets, has been criticized as an “infinite money glitch,” raising risks of overvaluation and potential investor losses.
Context & Past Ventures:
Trump-backed projects have had mixed results:
Truth Social saw its stock fall 73%.
The $TRUMP memecoin dropped 90% in value.
On the other hand, Trump’s digital trading card NFTs have held some demand, with floor prices above $200, though early buyers still faced significant losses.
Outlook:
While WLFI has generated significant attention, many view it as another politically charged initiative rather than a sustainable financial project. The long-term viability of this venture remains uncertain, with concerns over both investor risk and transparency.
👉 Stay tuned for more updates and insights on this developing story.
