World Liberty Financial: Can WLFI rally 500% after launch?

Key Takeaways

The Trump family’s WLFI token is making headlines with a $750 million deal tied to Alt5 Sigma. Early investors are already seeing huge gains, while the token gears up for its Binance debut.

The Trump family’s latest move into crypto is causing controversy. Their new token, WLFI, has landed at the center of a deal with trading platform Alt5 Sigma.

This comes just a week after Alt5 announced a $1.5 billion crypto treasury strategy. And now, the firm is now tied to transactions benefiting Trump-linked entities.

WLFi and a $750 mln deal

According to reports, the Trump family’s crypto arm acquired payments firm Alt5 Sigma. Soon after, Alt5 raised $750 million from investors and then used that cash to buy WLFI tokens directly from World Liberty.

On paper, that could deliver the Trumps a windfall of around $500 million, since entities tied to the family control the lion’s share of token sales.

While “circular” deals like this are not unheard of in crypto, they’re rare in TradFi.

They raise thorny issues around transparency and conflicts of interest, such as whether investors are unknowingly funding insiders’ profits or if token demand is being artificially inflated.

A series of headlines

This token deal isn’t happening in isolation.

Just days earlier, Alt5 Sigma raised a massive $1.5 billion through stock offerings to fuel its new crypto treasury strategy — with WLFI tokens at the center of it.

Meanwhile, the firm is already under the SEC’s microscope for alleged earnings inflation and possible stock manipulation, putting added pressure on its next moves.

On the WLFI side, the project has been busy striking partnerships, most recently with BONK.fun, which announced it would serve as the official Solana launchpad for WLFI’s USD1 token.

Whales, supporters and a Binance debut

As WLFI gears up for its Binance listing, where it will trade against USDT and USDC pairs, the token is already turning early backers into paper millionaires.

Records show one Trump supporter, who registered the domain “trumpisthebest.eth,” spent roughly $347,000 to scoop up 23.14 million WLFI tokens.

Source: X

At current market value, that stack is worth around $8.5 million, an unrealized gain of more than $8 million.