Momentum 6 Partner Explains WLFI Investment Rationale: Why Bet a Seven-Figure Amount?

Author: Dennis Liu, General Partner at Momentum 6

Translation: Yuliya, PANews

As the Trump family's crypto project $WLFI prepares to launch, market attention is intensifying. In this article, Momentum 6 General Partner Dennis Liu dives deep into the investment potential of $WLFI. He analyzes in detail the token’s stablecoin mechanism tied to U.S. Treasury bonds, strong institutional backing, and even discloses his seven-figure investment position and $1 price target. The author believes $WLFI combines political influence, financial innovation, and high speculation, making it one of the most significant events of this cycle. Below is the original article, translated by PANews.

What is $WLFI? Why does it matter?

$WLFI is Trump’s official token, with co-founders including Eric Trump, Donald Trump Jr., and Barron Trump. Trump himself was also listed as part of the team prior to taking office. This project is not a simple memecoin but is tightly linked to the regulated stablecoin USD1, which is backed by U.S. Treasury bonds—giving $WLFI both political and financial characteristics.

On September 1, $WLFI will go live on all major exchanges including Binance, and futures contracts are already active. According to the presale schedule, 20% of tokens will be immediately unlocked for circulation, while the remaining 80% will be subject to vesting. For most traders, this marks the first opportunity to gain exposure to $WLFI.

Position and Strategy

I have been buying $WLFI through the pre-market futures market, initiating my position at $0.40, adding more at $0.30, and accumulating heavily between $0.22 and $0.24. My average entry cost is $0.28, while the current price stands at $0.25. Yes, you can now enter at a cheaper price than mine.

The key to my strategy is using only 1x leverage—meaning no leverage at all. Price swings in the pre-market are extreme; even 1.5x leverage could result in liquidation. Using 1x leverage is essentially equivalent to spot trading, eliminating liquidation risk and avoiding funding fees. This is precisely how I am able to comfortably hold a seven-figure long position in $WLFI.

Price Target and Institutional Moves

My price target is $1 for $WLFI (corresponding to a fully diluted valuation of $100 billion).

For context, a previous memecoin launched by Trump—lacking utility and minimal promotion—still reached a peak FDV of $73 billion. By comparison, $WLFI enjoys official endorsement, is tied to U.S. Treasury bonds, and is being launched during Trump’s presidency, all of which significantly enhance its credibility and upside potential.

Institutional investors have already moved in:

• DWF Labs invested $25 million at $0.10;

• Aqua One Fund invested $100 million at $0.125;

• Nasdaq-listed ALT5 Sigma invested $1.5 billion at $0.20.

Compared to the current price of $0.25, this is only 25% higher than the Nasdaq-listed company’s entry price.

Diversified Investment Strategies

Besides direct holding, I’m running a $WLFI trading bot on Pionex. The grid range is set between $0.10 and $0.42. Within 22 hours, it has already generated a 2.5% profit for me (annualized yield reaching 960%). For investors unwilling to hold long-term, volatility alone offers attractive returns.

In addition, two higher-risk ecosystem projects are worth noting:

• One is $BLOCK (Blockstreet), founded by the CIO of $WLFI and serves as the launch platform for USD1;

• The other is $DOLO (Dolomite), led by the CTO of $WLFI and acts as the DeFi service provider for USD1.

These projects have smaller market caps, implying greater upside potential—but also higher risk.

If $WLFI doubles in price, these two tokens could rise 3 to 4 times; however, if $WLFI falls, their declines will likely be more severe. Therefore, maintaining balance within a portfolio is crucial.

Overall, $WLFI is undoubtedly one of the most significant token events of this cycle. It is more than just a narrative—it represents a convergence of political influence, financial infrastructure, and speculative value. With Trump’s official backing, institutional support, and its linkage to U.S. Treasury-backed stablecoins, $WLFI has become a major focal point in the market.