TechFlow news, August 27 — According to Decrypt, Compass Point analyst warned that the World Liberty Financial token (WLFI), set to launch over Memorial Day weekend, could pose significant risks to retail investors.
The analyst highlighted that the main risk stems from WLFI's token distribution structure: over 20% of the supply is held by the Trump family. Although these tokens are not yet tradable, they will be counted toward the fully diluted valuation (FDV). If exchanges list WLFI at an inflated valuation, it could repeat the scenario seen with the TRUMP token—which has dropped 89% from its peak, resulting in losses for most retail investors.
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