Trump’s crypto project ‘like a scam’? WLF only sells 3% of allocation

• Trump’s World Liberty Financial sold only 3.4% of its $300 million token allocation.
• Skepticism surrounds WLF, with concerns over its centralized control and website issues.

Donald Trump’s cryptocurrency venture, World Liberty Financial (WLF), has stumbled at the starting line.

Despite high expectations following the announcement of its token sale on 15th October, the project managed to sell only 3.4% of the $300 million in tokens earmarked for public release.

With its website facing technical difficulties, the WLF token sale, priced at 1.5 cents per token and offering a total of 20 billion tokens, attracted only $10.3 million in sales on its first day.

This lukewarm response raised questions about the viability of Trump’s crypto initiative and its potential impact on the broader market.

Is Trump’s crypto project an election gimmick?

In fact, just a day before its highly anticipated launch, the World Liberty Financial (WLF) project claimed to have garnered interest from 100,000 potential users.

However, reality painted a starkly different picture: Etherscan data revealed only 6,832 unique wallet addresses actually held WLFI tokens.

The situation worsened when the project’s website crashed shortly after the token sale commenced, rendering it inaccessible for several hours due to overwhelming traffic.

Visitors were met with a “website under maintenance” message, raising further concerns about the project’s preparedness.

Highlighting its ambition, the project’s “gold paper,” released on the same day, identified Donald Trump as the “Chief Crypto Advocate,” with his sons—Eric, Barron, and Donald Jr.—designated as “Web3 Ambassadors.”

However, Trump did not take this as a sign of defeat and utilized X to further promote the token sale.

He said,

“Crypto is the future, let’s embrace this incredible technology and lead the world in the digital economy,”

Crytpo community critiques WLF

However, the crypto community received Trump’s tweet with skepticism, as noted by X user Human, who pointed out several reasons why Trump’s crypto project raises “a number of red flags.”

He said,

“@realDonaldTrump BEWARE World Liberty Financial reeks of a Trump University-level scam.”

The user further elaborated on his concerns, pointing out that WLF exhibits centralized control while claiming to be decentralized.

He noted that the website is registered anonymously, drawing parallels to Dough Finance, a platform that suffered a $2.1 million hack, among other issues.

As expected, the user finally concluded by saying,

“In short, World Liberty Financial is a high-risk, dubious scheme that poses more danger than promise. Its blend of security risks, hidden agendas, and questionable marketing makes it look far more like a scam than a credible financial endeavor.”

Adding to the fray was Brian Krassenstein who said,

Source: Brian Krassenstein/X

What’s next for Trump?

Interestingly, this news coincided with Bitcoin trading above $67,000, and Vice President Kamala Harris recently launching her “Opportunity Economy” campaign, which focuses on safeguarding Black American investors.

Despite the downfall, Trump still continues to lead in Polymarket polls, capturing 58.9% of the votes compared to Harris’s 40.8%.

Source: Polymarket

While Trump’s affiliated memecoins are showing positive trends, those inspired by Harris are struggling, reflecting a stark contrast in market performance as indicated by the top Politifi Coins listed on CoinGecko.