Crypto News: Trump's DeFi Initiative and Its Token Distribution Details

Trump's New DeFi Initiative

On Monday night, former President Donald Trump and his team unveiled details about World Liberty Financial token – WLFI. This new decentralized finance (DeFi) initiative claims to transform the crypto ecosystem.

Token Allocation and Distribution

During a live stream event, the venture introduced a governance token, WLFI, allocating 63% for public sale. Furthermore, 20% of the token supply remains reserved for insiders, including the founding team, which notably features the Trump family.

• Token Allocation:
• 20% for the founding team
• 17% to reward user engagement
• 63% available for public purchase, with no pre-sales or early buy-ins

This venture emerges amidst scrutiny and conjecture. An earlier leaked draft had proposed a 70% allocation to the founders, raising alarms about a potential quick-profit scheme leveraging the Trump brand. Moreover, there were allegations that the Trump family plans to make $540 million through this new DeFi project. Adjusting to a more public-friendly 63% aims to mitigate these concerns and enhance credibility.

Regulatory Aspects and Market Engagement

WLFI will be marketed as a Reg D token, adhering to the Securities and Exchange Commission’s Regulation D. This rule allows companies to raise capital without registering their securities, given that it meets certain conditions. During the event, Trump highlighted the necessity of adapting to cryptocurrency. His engagement grew when he realized the success of non-fungible token (NFT) sales bearing his trademark, which were transacted in crypto.