World Liberty Financial saw a significant inflow of purchases, after a whale bought WLFI tokens valued at $3M. In a single transaction, the whale acquired 200M WLFI, or 1% of the token’s total supply.
A whale purchase flowed into World Liberty Financial (WLFI), the Trump-backed DeFi fund. The purchase was for 200M WLFI tokens, making up 1% of the supply. The recent purchase arrives after rumors of a crypto-friendly executive order coming immediately after Donald Trump takes office.
The whale purchase also happened on a day of expanding crypto exuberance, where Bitcoin (BTC) recovered by $5,000 in a day, and Ethereum (ETH) erased its dip under $3,000 within hours. With days until the beginning of Trump’s second term, the market is trying to extend the post-election rally from the last months of 2024.
WLFI was bought up more slowly than expected, as the project is capped at $30M instead of the initial $300M. World Liberty Financial launched at a time when fundraising for crypto shifted to memes, with little remaining interest for selling non-transferable tokens.
The WLFI token is still not in circulation or traded, and has a fixed price of $0.15. Once the entire token supply is sold, WLFI will start issuing passive yield.
The fund will launch a version of Aave, tapping passive income from crypto lending. The WLFI token will be used for voting and governance, and there is no fixed timeline on becoming a tradable asset. Aave’s model turned out to be one of the most appealing in DeFi, offering accessible loans for trading, especially during the bull market.
The new purchase came from a high-activity wallet, used as an intermediary. The address is also tagged as a multisig owner, potentially belonging to a DeFi project. The purchase is a significant commitment, as the WLFI tokens may be held indefinitely, at a time when most crypto investors seek a faster turnover.
The buyer’s wallet was first funded by an address with a vanity name, lexiseni.eth. This wallet contains Ethereum memes from previous bull markets, with a predominance of SHIB.
All involved wallets show signs of significant DeFi activity and swaps, showing that crypto insiders are well aware of Trump’s project and can afford to buy in, even with the waiting time for WLFI.
The wallets of World Liberty Financial see a constant inflow of purchases, ranging from 0.012 to 2.2 ETH. Besides the main token multisig wallet, two of the main sales wallets show high activity in two large-scale wallet clusters. Those clusters reflect the high-velocity trading and transfers of WLFI to smaller wallets. Most of the buying happens after inflows of ETH and USDC, as the fund already holds $75.58M in various digital assets.
The World Liberty Financial portfolio benefitted from the ongoing bull market, along with strategic purchases of DeFi assets. The fund acquired Chainlink (LINK), Aave (AAVE), ONDO (ONDO) and Ethena (ENA), which are some of the most active tokens in DeFi space. Additionally, the fund’s wallets receive random meme tokens, which create a ‘long tail’. So far, the tokens are sent for exposure, and most of them have limited value for the fund.
The buying comes from regular crypto and NFT users, with more than 23K holders already. Despite the publicity, however, the token is only distributed as far as some of the niche memes.
The total supply of WLFI is 100B tokens, suggesting a fully diluted value of $1.5B, even without the ability to trade and move to a higher price range. The recent buying from large and small crypto insiders leaves 80% of the tokens in the hands of the fund’s creators, Donald Trump Jr. and Eric Trump.
The overall market exuberance for Trump’s second term also affected Trump Media & Technology Group Corp (DJT). The stock price rallied from recent lows of $34.92 to $42.91, closer to its upper range for the past year.
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