Former US president Donald Trump launched his crypto project—World Liberty Financial—on Monday. The long-awaited project was launched amid speculations. The project has been in the pipeline for the past few months. Since August 2024, Trump and his two sons, Donald Trump Jr. and Eric Trump, have hinted at upcoming initiatives in crypto and decentralized (DeFi) areas. The aim of the project is to enhance financial security and promote free transactions. Notably, the project will provide lending services on the Ethereum blockchain.
According to video footage on the X platform, Trump announced that he would launch his project in a Twitter Space at 8 PM. He added that the new crypto financial system would be a better choice for users. Compared to slow and old big banks, the project would be more accessible.
.@WorldLibertyFi pic.twitter.com/rHEGQXl4jL
— Donald J. Trump (@realDonaldTrump) September 12, 2024
On Monday evening, the team unveiled the token details. The token WLFI will be divided into three parts. A major portion of the token sales, which amounts to about 63%, will be sold to the public. Around 17% will be reserved for user rewards. The remaining 20% will be for the team, advisors, and future members. The US Securities and Exchange Commission (SEC) will regulate the token distribution and sale of the project.
Crypto Market Reactions to Kamala Harris and Trump DebateTrump stated that all users who buy the token will be screened. They all will be using the same Know Your Customer (KYC) standards as other exchanges. While some speculated that the tokens are not intended to be deemed as securities, the team stated that the WLFI tokens will be offered based on Rule 506(c) of the SEC’s regulations. This implies that the tokens will be considered as unregistered securities and sold based on that condition.
Although Trump will receive compensation for the project, he will not own or manage the platform. Trump’s younger son, Eric Trump, and his associate Steve Witkoff, a real estate investor, will handle the project’s administration.
The project’s launch has received a mixed response. Many stated that Trump launched the project to win favor from the cryptocurrency community, which will further enhance his chance of winning in the November presidential elections.
