TechFlow news: A new cryptocurrency lending platform, World Liberty Financial (WLFI), promoted by former U.S. President Donald Trump and his family members, has sparked controversy.
According to a draft of the project's white paper obtained by CoinDesk, 70% of WLFI’s “governance” token will be held by "founders, team, and service providers"—a significantly higher internal allocation compared to other well-known crypto projects.
The remaining 30% will be distributed through public sales, with some proceeds used to support project operations.
Industry insiders consider this distribution ratio unusually high and potentially subject to scrutiny. The WLF team stated that the tokenomics model has not yet been finalized.
The project claims to aim at "returning financial power to the people," yet its token distribution suggests most power remains concentrated among a small group of insiders. Additionally, the WLFI token will be non-transferable, likely in an effort to avoid violating securities laws.
Notably, some Trump supporters have warned that the project could affect his electoral prospects and draw scrutiny from the SEC. Although Trump family members hold multiple roles within the project, the white paper attempts to decouple the initiative from politics.
