Trump-Backed WLFI Sees 56% Decline Amid Growing Scrutiny

Trump-Backed WLFI Sees 56% Decline Amid Growing Scrutiny – What Lies Ahead?

As the year wraps up, World Liberty Financial’s native token, WLFI, which has the backing of former President Trump, is experiencing a significant downturn. The token is currently down 56% from its highs following its launch. The year 2025 has been fraught with controversies surrounding both the company and its presidential supporter, making this decline particularly challenging.

Key Takeaways

WLFI has dropped 56% since its September launch, failing to regain higher price levels.
A significant portion of the trading activity has been concentrated at the lower end of the price range.
The project successfully raised approximately $550 million through token sales between late 2024 and early 2025.
Political ties have led to increased scrutiny, with concerns over regulatory independence and potential conflicts of interest.
Despite controversies, WLFI is looking to expand into real-world assets in 2026.

WLFI gets 2025 reality check - Price slides 56% from September highs

World Liberty Financial (WLFI) is facing substantial challenges as it closes the year with a significant price drop. The token's value has decreased by 56% from its initial highs, amidst controversies and scrutiny tied to its political connections. Despite these challenges, plans for growth and investment in real-world assets have been announced.

WLFI’s Reality Check

Since launching in September, WLFI's price movements have been characterized by a noticeable decline, dropping nearly 56% from its initial highs. Charts indicate a persistent struggle to recover above the $0.20-$0.24 resistance zone, where selling pressure has consistently emerged.

WLFI Price Chart Source: TradingView

Trading volume appears subdued at this stage. Following an initial surge at launch, interest in buying has diminished, with most activity occurring at the lower end of the trading range. This suggests attempts to purchase WLFI, though without the strength needed to drive significant upward price movements. Currently, the market for WLFI remains consolidated, with neither buyers nor sellers exhibiting enough momentum to initiate a substantial price shift.

Financial Trajectory

In October 2024, WLFI raised around $300 million by selling approximately 20 billion tokens at $0.015 each. This was followed by a second sale between January and March 2025, which netted another $250 million from the sale of 5 billion tokens at $0.05 each.

In March, the Trump family extended its cryptocurrency engagement with the launch of USD1, later teaming up with PancakeSwap [CAKE] to increase its outreach. In August, WLFI entered a significant $1.5 billion treasury agreement with ALT5 Sigma, wherein tokens were exchanged for equity.

Logos Source: Businesswire

During the bullish market of 2025, WLFI also acquired notable positions in assets such as WBTC, ETH, MOVE, and various DeFi-related tokens.

Political Connections and Rising Concerns

Unlike previous U.S. presidents who distanced themselves from their business dealings, Donald Trump has maintained close ties with ventures like World Liberty Financial, raising eyebrows and attracting scrutiny. In late 2024, as Bitcoin prices surged, reports emerged indicating that the Trump family's investment in WLFI had surged into the billions.

This situation prompted concerns from lawmakers. Senior Democratic figures urged the SEC to investigate potential conflicts of interest arising from Trump's involvement, particularly focusing on how this could affect regulatory integrity. Calls for examination intensified after reports indicated potential connections between WLFI tokens and sanctioned entities.

Both the White House and World Liberty Financial have strongly refuted these allegations. Nevertheless, the company continues to pursue expansion plans. Co-founder Zach Witkoff has shared intentions to move into real-world assets by 2026.

Final Thoughts

Overall, WLFI's path forward is navigated under considerable scrutiny amid a challenging market environment. The measures taken by the company and the ongoing political ties of its backers will significantly impact its future trajectory. As the cryptocurrency landscape evolves, it remains to be seen how WLFI will adapt and grow in the coming years.