Trump's World Liberty Could Raise $540 Million For Financial Insiders Code tests show plans for a token sale with a project value of $1.8 billion. It is not clear whether the token sale will attract the attention of regulators.
World Liberty Financial, an upcoming DeFi app linked to members of the Trump family, could provide the former president with hundreds of millions of dollars from token sales.
Code tests Identified By user X Dumpster DAO has revealed plans for a project to sell 30% of its WFLI token supply at a $1.8 billion valuation.
The project's white paper states that while former President Donald Trump does not own, manage, operate or sell the platform, he and members of his family can still receive compensation from it.
The sale, if it finds buyers for all 30 billion tokens on offer, will put $537 million in its coffers.
Details of the 5/n test contract:-Each wallet will sell 30% supply for a maximum of $1.8b FDV, price will increase from $0.0075 in Tier 0 to $0.03 in Tier 5-Token will not be transferable Upgrade proxy later*Note these values may change pic.twitter.com/Ux3LhIl8Kw
— Dumpster DAO (@Dumpster_DAO) September 3, 2024
Details of the 5/n test contract:-Each wallet will sell 30% supply for a maximum of $1.8b FDV, price will increase from $0.0075 in Tier 0 to $0.03 in Tier 5-Token will not be transferable Upgrade proxy later*Note these values may change pic.twitter.com/Ux3LhIl8Kw
— Dumpster DAO (@Dumpster_DAO) September 3, 2024
Trump is still notable for this amount arrears New York State fined $454 million from his business fraud lawsuit.
The information contained in the test code line with the draft of World Liberty Financial's white paper, first reported by CoinDesk. The draft states that insiders are willing to receive 70% of the WLFI token, while the remaining 30% will be sold to the public.
At a value of $1.8 billion, those benefiting from the project, including several members of the Trump family, could walk away with tokens worth about $1.3 billion.
Large allocations of tokens to insiders, as well as other concerns, have divided opinion.
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World Liberty Financial says its mission is to “make crypto and America great through the mass adoption of stablecoins and decentralized finance.”
But onchain sleuths were quick to highlight the project's connection to Dow Finance, an earlier DeFi protocol. Hacked for $2.1 million in July.
World Liberty Financial reassured potential investors in Telegram – the messaging app.
“We're not taking any chances,” the project said Said. “Our code has been thoroughly reviewed.”
Still, many are not convinced.
A few such as Nick Carter, founding partner of Castle Island Ventures, have aired Concerns The project is an “unnecessary distraction” at best and could cause embarrassment and legal trouble for Trump.
Finding tests
World Liberty Financial's connection code to Dow Finance is key in identifying tests.
Blockchains generate a firehose of data, and it can be difficult for users to spot specific activity if they don't already know where to look.
Dumpster discovered where to find the DAO by connecting World Liberty Financial to the Defy Protocol Dow Finance through former team member Chase Hero, who was tagged in social media posts about World Liberty Financial.
CoinDesk Later on reported Four of the members listed in World Liberty Financial's white paper previously worked at Dow Finance.
Dumpster checked the DAO Dow Finance Token Deployer — an address on the Polygon blockchain — and found Test contracts Labeled WLFinancial and WLFiPresale.
The contracts reveal plans to sell 30% of the token supply, known as WLFI, in six price tranches, starting at $0.0075 and ending at $0.03, raising a combined $537 million.
In the tests the code specifies that WLFI is not initially traded. But this leaves the option to upgrade WLFI to the project.
It's not clear whether World Liberty Financial's launch of an untradable token will still attract the attention of regulators.
The US Securities and Exchange Commission has previously said Considers Similar token sales, known in the industry as initial coin offerings, are securities offerings.
A World Liberty Financial spokesman declined a request for comment.
Tim Craig is News' Edinburgh-based DeFi correspondent. Reach out with tips at [email protected].
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