Donald Trump’s latest financial disclosure showed how closely digital-asset policy, personal financial interests, branded tokens, and presidential power now sit together. His highly scrutinized recent filing points to a governance problem that extends well beyond any one politician, because crypto can convert access, symbolism, and regulatory attitudes into value faster than older business interests ever […]
The post Trump’s crypto disclosure exposes an institutional problem that markets price in real time appeared first on CryptoSlate.
The deal puts USD1 branding inside the Octagon at an event held on the White House South Lawn, on President Trump's 80th birthday.
The move follows World Liberty Financial's apparent freeze of HTX-linked on-chain addresses, citing UK sanctions compliance, per HTX.
World Liberty Financial’s WLFI token is facing renewed scrutiny as the Donald Trump family-backed crypto project tries to rebuild demand and confidence after its recent slide to an all-time low. World Liberty Financial has responded with WLFI token burns, exchange integrations, and rewards programs tied to its USD1 stablecoin, a campaign aimed at restoring activity […]
The post World Liberty Financial rebound gives dormant WLFI holders an exit as AI Financial warns of survival risk appeared first on CryptoSlate.
World Liberty Financial co-founder Zak Folkman defended a $75 million Dolomite loan and called the Justin Sun defamation case "cut and dry."
Lee Reiners argues World Liberty's so-called governance token is not a so-called digital commodity or pure governance tool.
Justin Sun called it a “meritless PR stunt.” World Liberty Financial, or WLFI called it a lawsuit. Related Reading: Long-Dormant Bitcoin Whale Transfers 11,300 BTC, Sparking Market Speculation WLFI Vs. Sun: A Public Feud Goes Legal The Trump-affiliated crypto project filed a defamation claim against the Tron founder on Monday, accusing him of running a deliberate campaign to trash its reputation and push its token price down. According to the filing, Sun began making false public statements across media channels and social platforms starting April 12 — statements WLFI says were designed to manipulate sentiment, not raise legitimate concerns. The lawsuit doesn’t come out of nowhere. Sun had been deeply embedded in the project. An entity linked to him bought $30 million in WLFI tokens back in November 2024, and he joined WLFI as an advisor around the same time. The relationship looked solid — until it didn’t. Today, we are filing a lawsuit against Justin Sun for defamation. Sun has launched a coordinated media smear campaign against World Liberty Financial and refused to stop even when confronted with the truth. Here’s the story.???? — WLFI (@worldlibertyfi) May 4, 2026 Things began to crack when Sun allegedly tried to move his tokens to Binance in violation of the terms he had agreed to. WLFI responded by freezing the assets, citing a contractual right to do so. That freeze, the company says, was not a punishment — it was a protection. Sun launched a defamatory smear campaign in conjunction with press outlets that gleefully shared his lies. Sun’s lies were designed, in his own words, to drive the token price “to shit.” pic.twitter.com/y4wmaTWDyc — WLFI (@worldlibertyfi) May 4, 2026 Sun Fires Back With His Own Lawsuit Sun did not take the freeze quietly. In late April, he sued WLFI first, claiming the company had wrongfully locked up tokens that were once worth $1 billion and stripped him of his voting rights. His lawsuit framed WLFI as the aggressor. WLFI’s defamation claim, filed days later, tells a different story. Based on reports from the filing, WLFI alleges that after the freeze, Sun went public with misleading claims about the project’s governance and suggested there was a secret backdoor in its system. Today, I filed a lawsuit in California federal court against World Liberty Financial to protect my legal rights as a holder of $WLFI tokens. I have always been—and remain—an ardent supporter of President Trump and his Administration’s efforts to make America crypto friendly.… — H.E. Justin Sun ???????? ???? (@justinsuntron) April 22, 2026 The company says those claims ignored disclosures already available in its documentation. It also accuses Sun of using money to spread his message further — allegedly working with influencers and bot accounts to amplify his posts across social media. Sun, for his part, confirmed he is aware of the lawsuit and said he stands by everything he did. He says he expects to win in court. Related Reading: XRP Bulls Eye Breakout As Ripple Unveils 13,000 Bank Connections Worldwide Token Takes A Hit Amid The Drama WLFI’s token briefly jumped 8% after news of the lawsuit broke. But that pop sits against a rougher backdrop — the token had already fallen 15% over the prior week and was down 35% over the past month. The lawsuit asks the court to hold Sun financially accountable for damages tied to the WLFI token. How much that figure could reach has not been disclosed in reports so far. What is clear is that two parties who once shared a business relationship are now fighting that battle in public — and in court. Featured image from Unsplash, chart from TradingView
World Liberty Financial (WLFI) opened a legal counteroffensive against Justin Sun, accusing one of crypto’s most prominent billionaires of defamation after he sued the Trump-linked venture over frozen WLFI tokens that he says were once worth more than $1 billion. The lawsuit, filed in Florida state court, escalates a dispute that has turned Sun from […]
The post Trump’s World Liberty Finance (WLFI) sues Tron’s Justin Sun – Everything we know so far appeared first on CryptoSlate.
World Liberty Financial has countersued Justin Sun for defamation over $240 million in frozen WLFI tokens after Sun's initial complaint.
World Liberty Financial’s native token WLFI lost roughly 17% of its value on Wednesday as a governance proposal affecting more than 62 billion WLFI tokens officially opened for community voting — and the backlash was immediate. Related Reading: Bitcoin Bull Run Brewing: ATH In Sight By Late 2026: Analyst A Token Already Deep In The Red WLFI was trading at around $0.06 at the time of writing, according to data from CoinGecko. That marks a 70% drop since the token first reached open markets, making Wednesday’s selloff the latest in a long string of losses for holders of the Trump-family-linked DeFi project. The proposal behind the price drop would impose strict vesting schedules on tokens currently held by early investors and insiders. Under the plan, early investors face a two-year lockup cliff, followed by two more years of gradual release. Founders, team members, and advisers get the same two-year cliff but with a three-year linear vest after that. Voting runs through May 7. Token unlock proposal is now live for vote. ☝️ This is one of the most significant governance proposals in WLFI history. Here’s what’s at stake. — WLFI (@worldlibertyfi) April 29, 2026 World Liberty Financial framed the move as a show of long-term commitment. “62,282,252,205 locked WLFI tokens are subject to this proposal,” the project said in a post on X. “None of it touches the market for a minimum of two years if passed.” Voting Numbers Tell Only Part Of The Story On paper, the vote is going well. As of Wednesday, 99.95% of cast votes supported the proposal, and the required quorum of 1 billion WLFI tokens had already been cleared, with 6 billion tokens in favor and just 3.2 million against. But those numbers don’t capture the full picture. Criticism has been loud on X, where replies to World Liberty’s announcement were largely negative. The voting structure itself drew sharp criticism — anyone who does not cast a vote risks having their tokens locked up with no end date. That mechanic has been widely called coercive. All the $WLFI early investors who thought they were sitting on solid profits just got rugged, by the Trump family themselves. This essentially gives them another shot at squeezing the same lemon they’ve been inflating with hot air for the past two years. Which, what a surprise,… https://t.co/yLSNcfeZlm — Simon Dedic (@sjdedic) April 15, 2026 Moonrock Capital founder Simon Dedic was among the most pointed critics. Reports indicate he compared the proposal to a rug pull and raised questions about the timing — the two-year unlock period lines up with the remainder of US President Donald Trump’s time in office. Tron founder Justin Sun, who holds a significant amount of WLFI, called it one of the “most absurd” proposals he had ever come across. Related Reading: Dogecoin Futures Open Interest Explodes As Leveraged Traders Pile In World Liberty Defends The Structure The team behind World Liberty Financial said the vesting design was built to create what they described as a “more clear, bounded picture of governance preferences.” The goal, they said, was to keep tokens in the hands of people who are genuinely committed to the project’s future. The proposal was first submitted to the governance community on April 15 before going live for voting this week. World Liberty Financial called it “one of the most significant governance proposals in WLFI history.” Featured image from Unsplash, chart from TradingView
World Liberty Financial has put 4.52 billion WLFI tokens on the table for an immediate burn if a new unlock plan passes, a move tied to the founder, team, adviser and partner pool. Related Reading: ‘Extremely Good News’ – XRP DeFi Momentum Builds As SEC Softens Position On Interfaces The same proposal would also shift 62.28 billion locked WLFI tokens into longer vesting schedules, giving early supporters a two-year cliff followed by a two-year linear release, while the founder group would face a two-year cliff and a three-year linear vest if they opt in. A Wider Supply Reset The governance page says the burn would happen as soon as the vote clears, and holders who do not accept the new terms would stay locked. Early supporters would keep their full allocation under the revised schedule, but their tokens would not start unlocking until year 2 after passage. Every advisor, institution, partner, founder, and team member locked token — all 45,238,585,647 WLFI — is assigned to a 2-year cliff with a 3-year linear vest upon opting in, and subject to a 10% burn upon doing so. Up to 4,523,858,565 WLFI permanently destroyed. This is the… — WLFI (@worldlibertyfi) April 15, 2026 WLFI frames the proposal as a way to replace open-ended uncertainty with a fixed timeline for release. The plan also draws a line between user groups. Early supporters would get a four-year distribution path with no burn attached. Founders, team members, advisers and partners would face a stricter setup, with the burn applied only to their allocation and the rest released over a longer period. The proposal says that structure is meant to create a clearer picture of future supply and governance. According to reports, the change comes after pressure from buyers who have waited on liquidity for months. It was said that some holders had threatened legal action, while Tron founder Justin Sun criticized the project’s transparency and questioned whether earlier votes were concentrated in a small number of wallets. WLFI then reportedly threatened to sue Sun. I have always been an ardent supporter of President Trump and his crypto friendly policy. As an early supporter who invested heavily in World Liberty Financial, I did so because I believed in the vision that was presented to the public: a decentralized finance platform that… — H.E. Justin Sun ???????? ???? (@justinsuntron) April 12, 2026 Governance Under Strain The proposal lands at a tense moment for the project. Wallets linked to WLFI reportedly used billions of tokens as collateral to borrow about $75 million in stablecoins, and the token later hit a new low. The governance page also shows that WLFI has already passed six proposals, with participation ranging from 2.7 billion to 11.1 billion WLFI, and says active voting has reached only about 23% of the locked supply affected by this plan. Related Reading: Dollar’s Shrinking Value Adds Fuel To XRP Bull Case: Finance Expert That detail matters because the new vote is not just about supply. It is also about control, timing and who gets to decide when the token starts moving. The proposal says the current setup leaves too much uncertainty around locked tokens, and argues that the network has grown enough to support a clearer schedule. Featured image from Meta, chart from TradingView
WLFI proposes moving 62.3B locked tokens to fixed vesting schedules, requiring insiders to burn 10% of their allocation.
World Liberty Financial (WLFI), the decentralized finance platform backed by President Donald Trump, is navigating a deepening crisis as a precipitous drop in its token price collides with a bitter public dispute involving Tron founder Justin Sun. The turbulence centers on two distinct but compounding controversies: accusations from Sun that the protocol's team used centralized […]
The post World Liberty Financial threatens top token holder with legal action as WLFI loses $700M amid token scandal appeared first on CryptoSlate.
Sun called himself "the first and single largest victim" of World Liberty's blacklist, referencing his own wallet which has been frozen since Sep. 2025.
Tron founder Justin Sun’s World Liberty token position is down by more than $80 million, according to Bubblemaps data.
World Liberty Financial’s WLFI token fell sharply on Friday, dropping about 13% over the past 24 hours to new all-time lows of $0.080. The selloff comes as online reports have focused on the company’s leverage and collateral use, raising new liquidation fears. WLFI Backlash Grows According to the concerns circulating on social media platform X, World Liberty Financial allegedly posted a large WLFI collateral amount—reports claim 5 billion WLFI tokens—and took on borrowing of roughly $75 million in stablecoins through decentralized lender Dolomite. Those reports also said that more than $40 million connected to the borrowing was sent to Coinbase Prime. Additional commentary around the incident suggested that some portion of the debt had already been partially repaid, while still emphasizing that the overall structure was expected to remain heavily overcollateralized. Related Reading: Bitcoin, XRP, And DOGE In Focus: Expert Points To Key Price Reversal In Crypto Market Another factor mentioned by skeptics is that users in the venture’s USD1 stablecoin pools faced withdrawal pressure, and that WLFI’s presence—allegedly dominating more than 50% of Dolomite liquidity—could amplify market stress when prices move quickly. In this framework, a falling WLFI price reduces collateral safety, which can raise the chance of forced actions later, even if the original plan was designed to avoid straightforward token dumping. Governance Plans Announced World Liberty Financial responded to the growing backlash with a fresh statement on Friday, asserting it is “one of the largest suppliers and borrowers on WLFI Markets,” confirming that WLFI was supplied as collateral and stablecoins were borrowed, but insisting it is “nowhere near liquidation.” The statement further claimed that even if markets moved “dramatically” against the company’s position, the response would be to supply more collateral—arguing this is not treated as a risk in the normal operating model, but rather how the system is designed to work when leverage strategies are employed. In its defense, World Liberty Financial framed the borrowing position as part of a broader strategy: serving as an anchor borrower to generate yield that, in turn, helps make WLFI Markets attractive to others in the ecosystem. Related Reading: Expert Forecasts Bitcoin Surge To $80,000 Amid US-Iran Ceasefire And Oil Price Drop For early token holders, World Liberty said it plans a governance process. The company stated that a governance proposal to unlock locked tokens will be posted to the forum next week for community input, and that it will proceed to a formal vote shortly after. Additionally, World Liberty said USD1 includes compliance-grade controls, describing enhanced fund safety tools for frozen funds designed for the regulatory environment ahead. Finally, it claimed the upgrade is seamless, with balances, approvals, and integrations carried over intact—no migration and no disruption. World Liberty Financial also aimed at what it described as the “FUD crowd” framing, arguing that critics are looking at the wrong piece of the story and that the project is focused on compounding outcomes over time. Featured image from OpenArt, chart from TradingView.com
World Liberty Financial, the decentralized finance project co-founded by the Trump family, is hastily preparing to unlock a massive tranche of its WLFI tokens after a nearly two-year holding period. The impending release will likely target a portion of the remaining 80% of public investors' allocations to the project. According to Tokenomist data, this translates […]
The post Trump’s World Liberty Financial borrows $75M against illiquid WLFI tokens with 16B token dump incoming appeared first on CryptoSlate.
The project said it did supply WLFI as collateral and borrowed stablecoins, but it is 'nowhere near liquidation.'
A $5 million staking threshold that grants select investors direct contact with World Liberty Financial’s leadership team is drawing attention as the Trump-backed crypto project reshapes how power flows inside its governance structure. Related Reading: XRP Faces Systematic Rigging, Major Holder Says The new rule is part of a broader proposal that passed with overwhelming support last Friday, setting the stage for big changes in how decisions get made at the project. Token Lock-Up Rule Takes Effect WLFI token holders who want voting rights will now need to lock up their holdings for 180 days. The proposal closed with 99.12% approval from 1,800 votes cast. But the numbers tell a more complicated story — more than 76% of those tokens came from just 10 users, raising questions about how broadly the vote actually represented the project’s community. A 2% annual yield is offered to stakers who participate in at least two governance votes during the lock-up window. Those who already have tokens locked are not affected and may continue voting without interruption. WLFI said the change is meant to ensure that only investors committed to the project’s future can weigh in on its direction. The six-month requirement is framed as a filter for serious, long-term participants rather than short-term speculators. Big Stakes Come With Big Perks Investors willing to stake 50 million WLFI tokens — valued at roughly $5 million — are being offered something beyond yield: direct access to WLFI’s executive and business development team. WLFI spokesman David Wachsman told Reuters that the access point is the business development team and company executives, not individual founders, and that it stops short of guaranteeing any formal partnership. Still, the tiered structure creates a clear divide between everyday token holders and those with deeper pockets. The project’s leadership roster includes some well-known names. Eric Trump and Barron Trump are listed as co-founders in the WLFI Gold Paper, alongside Zach and Alex Witkoff, sons of Steven Witkoff. Zach Witkoff serves as CEO. Bank Charter Bid Still Pending Beyond governance, WLFI has broader ambitions in the financial sector. The project applied to the Office of the Comptroller of the Currency in January for a national trust bank charter tied to its stablecoin, USD1, and is still waiting for a ruling. The stablecoin is central to WLFI’s goal of supporting decentralized finance applications and other projects aligned with preserving the US dollar’s global standing. Related Reading: Strategy’s Bitcoin Bet Now $3.35 Billion In The Red As Saylor Tells Investors To Wait CEO Zach Witkoff has floated plans to expand into asset tokenization, with real estate and oil and gas among the areas being explored. Reports also indicate the project is weighing the creation of a publicly traded company to hold its WLFI tokens. Six governance snapshot votes have been completed so far, covering issues from making the token tradable to expanding USD1’s reach. This latest proposal marks a shift toward tightening who gets a seat at the table going forward. Featured image from JrKripto, chart from TradingView
The World Liberty Financial co-founder and presidential son posted about the ongoing negotiations on stablecoin yield on Wednesday.
The proposal redirects stablecoin arbitrage from institutional market makers to large token holders and links voting rights to capital commitment.
World Liberty Financial (WLFI), the decentralized finance (DeFi) venture associated with President Donald Trump and his sons, said early Monday that it had been targeted in what it described as a “coordinated attack” involving its stablecoin, USD1. According to CoinGecko data, USD1 — which carries a market capitalization of nearly $4.8 billion — briefly lost its dollar peg before recovering to $1. The temporary dislocation drew immediate attention across crypto markets, particularly given the project’s political ties and growing profile within the digital asset sector. World Liberty Financial Addresses Incident In a statement posted on its official account on X (previously Twitter), the project alleged that multiple attack vectors were deployed simultaneously. “A coordinated attack was launched against USD1 this morning,” WLFI wrote. The team claimed that hackers compromised several cofounder accounts, paid influencers to spread fear, uncertainty, and doubt (FUD), and opened significant short positions in the WLFI token in an attempt to profit from market disruption. Related Reading: Why The XRP Price Bottom Could Be In, And A Jump Above $2 Is Coming A spokesperson for World Liberty told Bloomberg that the company’s engineering and security teams had successfully countered the incident. The spokesperson described the event as a multi‑pronged attempt to undermine confidence in the project, but said internal systems functioned as intended. Beyond the temporary depeg itself, online speculation quickly shifted toward another development that some community members believe could be connected. A social media user known as Chris Coffee suggested that the alleged attack might relate to a forthcoming insider trading investigation teased by on‑chain investigator ZachXBT. Insider Probe Speculation Grows ZachXBT announced on X that he plans to publish a report on February 26 detailing alleged insider trading by employees of “one of the most profitable crypto companies.” The timing has fueled conjecture. Some users pointed to reports that Eric Trump, who has been publicly supportive of WLFI, deleted several posts related to the project following the stablecoin’s volatility. He later posted again about WLFI, further drawing attention to the situation. In crypto circles, speculation intensified that World Liberty Financial could be the subject of the pending investigation, though no evidence has been presented to confirm such claims. Related Reading: Expert Crypto Trader Predicts The Exact Year Bitcoin Will Reach $250,000 The conversation has even extended to prediction markets. On Polymarket, bettors are placing odds on which company ZachXBT’s investigation might target. Current probabilities cited on the platform assign roughly a 20% chance to Pump.fun, 18% to World Liberty Financial, and 14% to Binance. For now, there is no confirmed link between Monday’s reported “coordinated attack” on USD1 and the investigation scheduled for release on February 26. Whether the two events are related or simply coincidental remains uncertain. As of this writing, the company’s native token, WLIF, is trading at $0.1121. This represents a 66% gap between the current trading price and the token’s all-time high of $0.33. Featured image from Sky, chart from TradingView.com
The USD1 token briefly fell to $0.994, some 0.6% below its $1 peg, CoinGecko data shows.
A Trump-linked crypto firm is bringing the former president's brand into the structured credit market. World Liberty Financial plans to tokenize loan-revenue interests tied to the Trump International Hotel and Resort Maldives, offering investors exposure to projected interest payments connected to the project's financing rather than ownership of the property itself. With the completion date […]
The post Trump’s crypto firm made $1.2 billion in 16 months because it found a way to sell resort debt as tokens appeared first on CryptoSlate.
Crypto, real estate and politics collided at Trump’s Mar-a-Lago club as insiders debated tokenization and regulation.
The latest inquiry lands amid broader Democratic pressure over Trump-linked crypto activity and World Liberty Financial.
CNBC reported Thursday that a group of House Democrats are pressing the Treasury Department to examine potential conflicts of interest and national security risks tied to World Liberty Financial (WLFI), the crypto venture associated with the Trump family. Security Concerns Over Trump-Linked Crypto Venture In a letter sent Thursday to Treasury Secretary Scott Bessent, more than 40 Democratic lawmakers, led by Representative Gregory Meeks of New York, called for a formal review of the company’s structure and foreign investment ties. The letter follows a tense House Financial Services Committee hearing earlier this month, during which Bessent testified before lawmakers. At that hearing, Meeks sharply criticized the Treasury secretary, referring to him as a “flunky” of President Trump. Related Reading: ‘Sell Bitcoin Now,’ Peter Schiff Warns, Predicts $20,000 Target On Breakdown He also raised concerns about a $500 million investment in World Liberty Financial made last year by Sheikh Tahnoon bin Zayed Al Nahyan, a member of the United Arab Emirates’ royal family who has sometimes been referred to as the “spy sheikh.” In a statement accompanying the letter, Meeks said the half‑billion‑dollar deal involving an Emirati royal presents both financial and national security concerns. “The Trump family’s $500 million deal connected to the Emirati royal family is not only a matter of national financial instability, but it also carries serious national security implications,” he said. Treasury Asked To Clarify White House Role The lawmakers’ request comes as World Liberty Financial is pursuing a national bank charter. Democrats are seeking assurances that the chartering process remains insulated from political or foreign influence. As such, they argued that the matter extends beyond a technical debate over crypto regulation. “This is no longer just a debate about crypto chartering theory,” they wrote. “It is about foreign ownership, national security, regulatory integrity, and whether our bank‑chartering process is resilient to political and geopolitical pressure.” Related Reading: Revealed: The Biggest Bitcoin Holders Of 2026, According To Arkham Data The group asked Treasury officials to detail what safeguards are in place to prevent foreign governments, their proxies, or politically connected investors from using the national bank chartering process to gain leverage within the US financial system or access sensitive financial and technological infrastructure. They also sought clarification on the role, if any, played by the White House, the Office of Management and Budget, and the Treasury Department in reviewing or influencing charter decisions made by the OCC. The lawmakers requested a response from the Treasury Department by Feb. 26. In closing, they emphasized the broader implications for public trust. “The credibility of America’s banking regulatory framework, and of the institutions charged with protecting it, depends on transparency, independence, and a demonstrated willingness to resist undue influence,” they wrote. As of this writing, World Liberty Financial’s native crypto, WLFI, is trading at $0.1168, marking a 3% decline over the past 24 hours. However, according to CoinGecko data, the cryptocurrency has increased by nearly 10% in the past seven days. Featured image from OpenArt, chart from TradingView.com
U.S. President Donald Trump’s son Eric Trump acknowledged bitcoin’s volatility but said its upside potential outweighs the risks as prices hover below $70,000.
The companies are working to structure and tokenize loan revenue tied to the Trump Organization's Maldives resort project.
The Trump-affiliated token rose on news that a $3.5 trillion asset servicer will pilot USD1, while BTC and ETH continue to trade near multi-week lows.