Trump's Crypto Project Raises $11 Million on First Day of Token Sales: What's Next?
Date: 2024-10-17 Author: Gabriel Deangelo Categories: CRYPTO PAYMENTS
The project was announced at the end of August and is available only to accredited investors. The tokens are intended to participate in the management of the platform and do not imply financial benefits for holders.
As of October 16, as of 19:00 Moscow time, World Liberty Financial had raised about 4% of the planned funds. Trump personally announced the launch of sales through the X social network, and the number of token holders exceeded 8.5 thousand with a total volume of WLFI at 100 billion tokens. More than 82% of them are concentrated in three addresses, which suggests the possibility of further distribution, according to Etherscan data.
Trump is a big supporter of the crypto industry and has previously sold NFTs and collected cryptocurrency donations for his campaign. By mid-August, he had raised about $35 million, with more than $7 million coming from NFT sales and the rest from donations. The Trump 47 Committee, a political action committee, raised another $7.5 million in cryptocurrencies including Bitcoin, Ethereum, and XRP between July 1 and September 30, according to CNBC.
As of October 16, about 761 million WLFI tokens had been sold out of a planned 20 billion at a price of $0.015 per token, confirming that almost $11.5 million had been raised. However, users have been experiencing unstable access to the project’s website and its failures. WLFI tokens are governance tokens and cannot be transferred for the next 12 months, although they can be used to vote on the platform.
According to the project’s roadmap, the token sale aims to raise $300 million at a fully diluted valuation (FDV) of $1.5 billion. This means that the project has raised only 4% of the planned amount. Zach Folkman, the co-founder of the project, previously announced that 63% of the tokens were allocated for the sale, but the official documents indicate different distribution terms.
It is planned that 35% of the tokens will be allocated for the sale, 32.5% for community and protocol development, 30% for early adopters, and 2.5% for the team and advisors. In the first stage, World Liberty Financial is launching a credit platform in the decentralized finance (DeFi) segment based on the Aave protocol. The platform will operate on the Scroll network, which will allow customers to take out loans secured by other assets.
As part of the further development of the project, WLFI plans to integrate with centralized exchanges and issue a credit card focused on stablecoins. Ultimately, the project intends to tokenize real-world assets, including hotels and sports clubs.
Given the political situation, active preparations for the sale of the WLFI token coincided with the increased likelihood of Trump winning the election, which could also positively affect interest in the project.
