The Trump family has entered the world of cryptocurrencies with their latest company, World Liberty Financial (WLFI). After weeks of waiting, they finally revealed important details about how their crypto project will work during an event on X (formerly known as Twitter). This event answered big questions about who can participate and how their new tokens will be shared.
How tokens will be shared:
One of the founders, Zak Folkman, explained that their WLFI token will be split into different pools. This is how it breaks down:
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20% of the tokens will be reserved for the founding team, which includes members of the Trump family.
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Another 17% of the tokens will be used as rewards for people who use the platform.
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The remaining 63% will be available for public purchase.
Folkman made it clear that “there will be no pre-sales or pre-purchases,” meaning no one will have an advantage in purchasing tokens before anyone else. This came as a relief to many people because an earlier draft hinted that the founders would control 70% of the tokens, which made people worry that it could be a quick-cash scheme.
How they are working with the rules:
World Liberty Financial is using a method called “Regulation D token offering” to raise money. This allows them to do so without having to register with the Securities and Exchange Commission (SEC), as long as they follow certain rules. The SEC, led by Gary Gensler, has been tough on crypto projects lately, so it will be interesting to see how this one develops.
Trump’s changing views on cryptocurrencies:
Donald Trump himself joined the event and openly shared that he was not always interested in cryptocurrencies. He admitted, “I wasn’t too interested,” but said his children got him involved after he saw the success of their NFT (non-fungible token) collections. “I think my kids opened my eyes more than anything else,” he said. This family effort shows how the Trumps are now paying attention to this growing trend.
A surprising incident before the event:
Curiously, just one day before this big event, there was an alleged attempt on Trump’s life while he was playing golf with Steve Witkoff, who is one of the main figures at World Liberty Financial. Despite this dramatic event, both Trump and Witkoff were present at the launch to share their enthusiasm for the new project. Witkoff explained how he got involved, saying his son introduced him to two young crypto experts, Chase Herro and Zak Folkman, who convinced him that cryptocurrencies could be the future of money.
Who is really running this project?
Although the Trump family is part of this project, they do not actually own or manage World Liberty Financial. Those responsible are Eric Trump and Steve Witkoff, who are still new to the world of cryptocurrencies. Although they do not have much experience in this space, their participation has certainly caught the attention of many.
How this compares to other Trump projects:
World Liberty Financial has some things in common with Trump’s previous project, Trump Media & Technology Group, which launched the conservative social media platform Truth Social. Like that company, this new crypto project is attracting a lot of attention. But people are being cautious and want to see if this project will really deliver what it promises.
Beware of scammers:
The founders didn’t reveal too many details about what’s coming next, but warned people to stay informed through official channels. They also advised everyone to be on the lookout for scammers who might try to take advantage of the rumors surrounding this project.
Also read: Trump launches crypto financial company World Liberty to boost 2024 campaign and compete with Kamala Harris