Donald Trump’s World Liberty Proposes 4.5B Token Burn, WLFI to Rally?

Donald Trump’s World Liberty Financial has introduced a governance proposal covering about 62.28 billion WLFI tokens, including a plan to permanently burn up to 4.52 billion tokens if eligible holders opt into new lockup terms. The proposal, published for community discussion, would change vesting conditions for founders, team members, advisors, institutions, partners, and early supporters. The move comes after earlier concerns from parts of the community over WLFI’s token unlock structure and the project’s governance framework.

According to details shared by WLFI, 45.24 billion locked tokens tied to founders, team members, advisors, institutions, and partners would move to a two-year cliff followed by a three-year linear vesting schedule. Holders in that group who opt in would also accept a 10% burn, which could remove as many as 4,523,858,565 WLFI from supply. WLFI said these are the least favorable unlock terms in the proposal and described them as part of a long-term alignment plan for governance participants.

A separate pool of 17.04 billion early supporter tokens would move to a two-year cliff and a two-year linear vesting period, with no burn attached. WLFI said holders who do not accept the new schedule will remain locked under the current terms indefinitely. In its explanation, the project said the full 62.28 billion tokens covered by the proposal would remain committed to governance participation for at least two years if the plan is approved and accepted by holders.

WLFI Sets New Vesting Terms for 62.28B Tokens

The proposal was presented by WLFI as a governance-focused restructuring rather than a standard token unlock event. In posts on X, the project said the new schedule is intended to extend lockups and reduce available supply over time through the burn mechanism tied to insider and partner allocations. WLFI also said the tokens covered by the proposal would remain linked to governance participation for a minimum of two years.

The announcement arrives after earlier criticism involving the project’s token controls. Tron founder Justin Sun had accused World Liberty Financial of concealing a blacklist function inside the WLFI token contract. Sun said the function gave the issuer the ability to freeze or restrict token holders without notice or recourse. 

He had invested in the project after it presented itself as a decentralized finance platform centered on financial access and reduced reliance on intermediaries. WLFI’s latest proposal did not address those remarks directly, but it arrived as community scrutiny around token management remained active.

WLFI Price Remains Under Pressure After Proposal

Despite the governance proposal, WLFI price action has remained weak on the daily chart. The token was trading near $0.08126, still below the Alligator indicator levels at $0.08510, $0.08847, and $0.09226. That setup showed price continuing to trade under a key resistance cluster even as selling pressure appeared to slow after the recent decline.

The broader trend has not changed yet. WLFI continues to post lower highs and lower lows, which keeps the daily structure bearish. The nearest support remains around the recent low zone between $0.076 and $0.078. If price breaks below that range, traders may begin watching the $0.070 level as the next downside area. On the upside, resistance remains concentrated between $0.08510 and 40.09226, where the Alligator lines are currently positioned.

Source: TradingView

Momentum indicators suggest the pace of the decline has eased, though there is still no clear reversal signal. The MACD line and signal line remain below zero, while the histogram is still negative but has started to contract. That usually points to weakening bearish momentum rather than a confirmed bullish shift.

As a result, the current setup leaves room for a short-term rebound, but only if WLFI can reclaim the nearby resistance range. A move into the $0.085 to $0.092 area could test whether buyers are strong enough to challenge the current downtrend.