WLFI's Token Burn: Combating a 58% Decline by Reducing Supply by 0.19%
- Trump-backed DeFi project WLFI initiates token buybacks/burns to stabilize price after 58% September decline, funded by 100% of liquidity pool fees. - First burn destroyed 47 million tokens (0.19% supply), with analysts estimating potential 2% annual supply reduction via daily 4 million token burns. - While 99.8% of holders approved the deflationary strategy, critics argue insufficient supply cuts and question long-term viability amid ongoing price declines. - Project faces challenges balancing token sca
World Liberty Financial (WLFI), a decentralized finance initiative supported by the Trump family, has launched a token repurchase and burn scheme to help stabilize its value after a sharp drop in September. This plan, which received approval from 99.8% of
This buyback and burn approach is funded solely by protocol-owned liquidity fees, not involving community or external pools. This ensures that the process does not interfere with outside liquidity while establishing a deflationary mechanism linked to platform usage. As trading activity rises, so do the fees, which allows for larger buybacks and further supply reduction. Analysts predict that as many as 4 million WLFI tokens could be burned daily, potentially removing 2% of the total supply each year WLFI Launches 100% Buyback & Burn Strategy to Boost Token Value [ 2 ]. The team has committed to full transparency, making all transactions visible on-chain and providing real-time updates to foster trust among holders World LibertyFi Community Approves 100% Treasury Liquidity Fee … [ 6 ].
Reactions from the community have been divided. Although 99.8% of voters backed the initiative, some critics argue that burning tokens with fee revenue alone may not be enough to reverse WLFI’s price decline. One participant called for a much larger reduction in supply, suggesting that burning 10 billion tokens—over 40% of the current supply—would be necessary for meaningful price support. Others recommended including presale tokens in the program, with limits based on fee income to avoid excessive selling pressure World LibertyFi Community Approves 100% Treasury Liquidity Fee … [ 6 ]. Despite these debates, the strategy is in line with broader trends in the crypto sector, where projects such as Hyperliquid and
WLFI’s actions reflect a wider movement toward deflationary token models, which are gaining popularity amid market uncertainty. The project’s governance team highlighted that the program is designed to reward long-term holders by increasing the relative value of their stakes. However, the plan’s success depends on the continued generation of liquidity fees. If trading slows, the buyback program may struggle to maintain funding, limiting its effect on price recovery WLFI Holders Approve 100% Buyback Plan to Cut Supply and … [ 3 ].
The Trump-affiliated project has also come under scrutiny due to its volatile price movements after launch. Following a 40% drop in its first three days of trading, WLFI’s value has continued to slide, raising concerns about its future prospects. The team has also faced controversy, including allegations from early investor Justin Sun that his WLFI tokens were frozen WLFI Launches 100% Fee-Funded Buyback and Burn Program [ 1 ]. Meanwhile, WLFI is preparing to release a debit card and retail app, which will support Apple Pay and peer-to-peer payments, aiming to broaden the token’s use beyond DeFi trading.
Although the buyback and burn initiative marks a major effort to stabilize WLFI, its ultimate effectiveness is still in question. The project must find a balance between reducing token supply and securing resources for ongoing development and ecosystem expansion. If managed well, this approach could become a blueprint for other DeFi projects facing bearish conditions. However, without a significant boost in demand or liquidity, the program may not be enough to reverse WLFI’s downward momentum WLFI Holders Approve 100% Buyback Plan to Cut Supply and … [ 3 ].
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Polymarket’s Adherence to CFTC Regulations Connects Cryptocurrency with Conventional Financial Systems
- Polymarket secures CFTC approval to resume U.S. operations under a regulated framework after a 2022 $1.4M fine for unregistered derivatives trading. - The platform now complies with federal requirements including real-time surveillance and trade reporting, partnering with ICE after a $2B investment. - Its re-entry enables U.S. brokerages to integrate prediction markets, boosting liquidity and attracting traders previously excluded by regulatory barriers. - The $10B valuation surge and strategic QCX acqui

Mutuum Presale Investors Rush to Secure Tokens Before Price Surges to $0.04
- Mutuum Finance's Phase 6 presale nears 95% allocation at $0.035, raising over $19M with 250% price growth since Phase 1. - The DeFi protocol offers non-custodial P2C/P2P lending, mtToken yield mechanisms, and plans for stablecoins/cross-chain expansion. - Dual audits by Halborn and CertiK, plus Q4 2025 testnet launch plans, bolster credibility as 18,200+ holders compete for tokens. - With 800M+ tokens sold and Phase 7 approaching $0.04, the project aims to redefine lending through user-controlled, incent

Bitcoin News Today: Bitcoin Holds Strong at $84K Amid Institutional Optimism and Broader Economic Challenges
- Bitcoin drops 31% to $82,000 as 2025 market cycle mirrors 2021's bull run, testing critical $84,000–$86,000 support levels amid rising U.S. yields and Fed hawkishness. - Institutional inflows into FBTC/IBIT and whale accumulation counter macro headwinds, with JPMorgan upgrading miners and projecting 2026 rebound potential. - Current market differs from 2021 with institutional focus on utility-driven use cases (cross-border payments, DeFi) and regulatory progress like Ripple's RLUSD approval in UAE. - Fed
Ethereum News Today: Hayes: Most L1s Are Fragile, Only Ethereum and Solana Will Endure
- Arthur Hayes warns most L1 blockchains outside Ethereum and Solana face collapse due to lack of utility and structural viability. - He criticizes projects like Monad for high FDV and low float, predicting 99% crashes when early investors unlock tokens. - Ethereum's modular architecture and Solana's speed-positioned for 2026 dominance-contrast with fragmented L2 ecosystems. - Hayes backs privacy coins like Zcash, citing institutional interest and potential growth from global liquidity expansion. - He fore
