Trump’s WLFI Token Raises $1.5 billion—Critics Warn of Financial Risks

- Donald Trump introduces the WLFI cryptocurrency token, sparking controversy over its financial model. - Experts voice concerns about its structure, drawing comparisons to his previous speculative ventures. Donald Trump has unveiled the WLFI token through World Liberty Financial, a venture he founded with his sons. On August 24, 2025, Cryptopolitan reported that the token will launch in September. The project uses a "crypto treasury" model that directs 75% of token sale proceeds to Trump, while purchasers will not gain ownership, profit-sharing rights, or any tangible value in return. World Liberty Financial seeks to raise $1.5 billion through WLFI token sales, and Eric Trump is also involved, having joined the board of collaborating crypto firm Alt5 Sigma. In addition, the WLFI token offers holders limited governance rights, providing only 5% voting power over a dollar-backed stablecoin called USD1, which Trump’s company will control entirely. Consequently, financial analysts are voicing skepticism about the project. Owen Lamont, a portfolio manager at Acadian Asset Management, compared the venture to speculative assets that experience brief popularity before collapsing in value, stating that the phenomenon violates every principle of finance. The WLFI initiative resembles Trump’s earlier speculative ventures, where early supporters often profited while later investors incurred losses. For instance, Truth Social’s DJT ticker fell 73% from its peak, the $TRUMP memecoin lost 90% of its value post-launch, and a limited NFT collection’s floor price plummeted from $800 to $200. According to Cryptopolitan on August 24, World Liberty Financial USD (USD1) was trading at $1 as of 22:09 UTC, with its 24-hour trading volume showing a 0.001% change.