With only a few hours left until the 2024 U.S. election, Donald Trump's World Liberty Financial has significantly lowered its fundraising target due to a sharp decline in sales of its native token 'WLFI.'
Reportedly, the company currently plans to raise only $30 million from investors, which is just 10% of its original target of $300 million. Furthermore, a SEC document traced back to October 30, 2024, states that World Liberty Financial ($WILFI) plans to 'terminate' the sale of its native tokens once its valuation reaches $30 million.
Additionally, according to public documents, only after World Liberty Financial reaches the $30 million milestone will a Trump-affiliated entity named 'DT Marks DEFI LLC' receive 75% of the 'net agreement revenue,' including token sales.
World Liberty Financial struggled in its early days. However, since its launch in mid-October, its wallet has received nearly $25 million worth of cryptocurrency, as investors eagerly purchase the project's WLFI tokens.
It is worth noting that the WLFI token has no appreciation mechanism. It is a governance token-based protocol that doesn't even exist today. Furthermore, according to the same SEC document, it emphasizes that its $288 million 'non-transferable digital tokens' are for sale.
Furthermore, the company currently plans to sell tokens for only $30 million before freezing sales. As of the time of writing, World Liberty's website reflects the old sales target of $300 million. Additionally, the company has sold nearly 1 billion of the 20 billion WLFI tokens.
However, the tokens that have been sold will remain frozen until further notice. This indicates that those purchasing WLFI will not be able to cash out on the secondary market. On the other hand, Trump's company 'DT Marks DEFI LLC' is expected to receive 22.5 billion WLFI tokens, valued at approximately $330 million according to World Liberty's public sale valuation.
In addition, its website also introduces a portal for accessing cryptocurrency investment opportunities. It also details the establishment of a 'lending' service. On the positive side, Decrypt recently reported on the platform's plans to launch a stablecoin.
