Donald Trump’s new cryptocurrency initiative, World Liberty Financial (WLF), has faced substantial difficulties since its inception. As reported by
CNBC
, the venture seeks to create a crypto bank and was anticipated to draw significant investor interest. However, the token sale, which launched on Tuesday, encountered website downtimes and technical glitches, severely restricting participation.
Trump’s Crypto Initiative Encounters Obstacles
Zachary Folkman, co-founder of WLF, previously disclosed that over 100,000 individuals were on the whitelist for this investment opportunity. Despite this optimistic beginning, the outcome was vastly different.
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As of Tuesday afternoon, blockchain data from Etherscan indicated that only about 4,300 unique wallet addresses were holding the
WLF token
, which is approximately 4% of the registered investors.
The platform reported selling over 532 million tokens at a price of 15 cents each, accounting for less than 3% of the total 20 billion tokens offered for public sale.
Throughout the day, users experienced ongoing interruptions, with the website frequently displaying a message that read, “We are under maintenance.” WLF has yet to release an official statement addressing these technical challenges.
These challenges arise at a pivotal moment for Trump, the Republican presidential nominee, who has vigorously promoted the project since August under the label “The DeFiant Ones,” referencing
decentralized finance
(DeFi).
The project’s roadmap outlines an ambitious aim to raise up to $300 million at a valuation of $1.5 billion during the initial sale.
Investors Will Gain Voting Rights on the WLF Platform
Folkman, who has a diverse entrepreneurial history, including ownership of a company called Date Hotter Girls, mentioned that 20% of WLF’s tokens are allocated to the
founding team
, which involves members of the Trump family.
The WLF token, WLFI, is structured as a Regulation D offering, enabling it to raise capital without needing to register as a security with the SEC, as long as it adheres to specific conditions, including limiting the
sale size
and restricting participation to accredited investors. So far, information regarding the project’s functionalities has been limited.
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Those associated with the Trump family initiative have indicated that the platform will enable borrowing, lending, and investing in
cryptocurrencies
. However, a formal white paper or detailed business plan hasn’t been publicly released, with the primary disclosure being that investors will receive voting rights on the upcoming WLF platform.
In a move towards credibility, WLF has also started the process of obtaining approval from Aave, a DeFi ecosystem and lending platform recognized for its open-source framework and credibility within the crypto community.
Featured image from DALL-E, chart from TradingView.com