Quick Takeaways:
- WLFI Token team burned $1.43 million worth of tokens after a $1.06M buyback
- 7.89 million WLFI removed from circulation, with 3.06 million still unburned
- Governance vote saw 99% support for the buyback-and-burn strategy
WLFI Token Buyback Triggers $1.43M Burn
The WLFI Token, a decentralized finance project linked to former U.S. President Donald Trump, recently executed a massive token burn following a multi-chain buyback.
The team used $1.06 million in fees collected through DeFi activity to purchase 6.04 million WLFI tokens from the open market.
Shortly after, they burned 7.89 million WLFI, worth roughly $1.43 million, across Ethereum and BNB Smart Chain. However, 3.06 million WLFI tokens (around $638,000) still remain unburned on Solana, awaiting further action.
This move comes after WLFI Token saw its price fall 33% over the last month, raising concerns among holders.
However, in the last 24 hours, it has gained over 6%, now trading around $0.2049, though still down more than 38%from its all-time high.
You can track live WLFI stats on CoinGecko.
WLFI Token Burn Plan Approved By 99% Vote
The WLFI Token burn strategy wasn’t just a team decision; it came from the community. Earlier this month, a governance proposal was passed with 99% approval to allocate 100% of fees from WLFI-controlled liquidity pools toward ongoing buybacks and burns.
Notably, third-party or community-managed liquidity pools are excluded from this mechanism. This ensures only the protocol’s own liquidity contributes to deflation, maintaining transparency and control.
According to analysts, this could mean the protocol is capable of burning up to 4 million WLFI daily, depending on volume.
If so, that could eliminate nearly 2% of annual supply, reducing sell pressure and enhancing scarcity. For more details on the proposal, check BSC News’ full breakdown.
Trump Family’s WLFI Token Holdings Raise Eyebrows
Adding fuel to the spotlight, the Trump family’s connection to WLFI Token has drawn major attention.
According to blockchain records and the project’s disclosures, an entity linked to Trump, DT Marks DEFI LLC, holds a significant stake in the token.
Following a recent unlock of 24.6 billion WLFI, their holdings ballooned to an estimated $5 billion in value. Among named holders are Donald Trump Jr., Eric Trump, and even Barron Trump.
The price of WLFI briefly surged to $0.40 during the unlock, before cooling back down. Such centralized ownership poses potential risks.
If any major holder decides to sell, it could impact the market heavily. Still, the burn mechanism may help offset such risks by constantly removing supply from circulation. Want to learn how the WLFI treasury operates? Check out this detailed guide on Investopedia.
What’s Next for WLFI Token?
Going forward, the WLFI team plans to:
- Burn the remaining 3.06 million WLFI on Solana
- Continue funding buybacks from liquidity pool fees
- Monitor governance participation for future protocol updates
If WLFI-controlled pools generate higher trading volumes, expect more aggressive burns ahead. So far, the community appears optimistic especially if the burn strategy helps reduce volatility and price suppression.
However, market watchers remain cautious, especially given the token’s political associations and the centralized token distribution.
