Andrew Tate-linked wallet gets liquidated on WLFI long

Andrew Tate has taken a hit on his WLFI position, but instead of stepping away, the influencer doubled down with a fresh long on the Trump-backed token.

After a volatile period for WLFI (WLFI) following its recent launch, trading data now points to losses for a high-profile holder, Andrew Tate. According to on-chain data from Lookonchain, a wallet linked to the social media influencer was liquidated hours ago on a long position in World Liberty Financial token, resulting in a $67,500 loss.

Despite the setback, Tate, no stranger to losses, immediately opened a new long position, placing 960,128 WLFI. This suggests continued confidence in the Trump-affiliated project, despite recent volatility and sell pressure.

The loss came shortly after WLFI’s turbulent launch, which was followed by large-scale sell-offs just hours into trading. The token opened at $0.31, briefly peaked at $0.46, then crashed 56.5% to around $0.20, according to earlier coverage from crypto.news.

Insider selling concerns and WLFI price crash

WLFI, backed by a venture linked to the Trump family, faced intense scrutiny from its first day on the market. Major holders began selling shortly after the token went live, triggering suspicions of insider activity.

Multiple on-chain reports revealed large wallets dumping significant volumes of WLFI minutes into trading. The pattern mirrored several previous high-profile token launches where early backers offloaded tokens into retail interest.

In response to the negative sentiment, the World Liberty Financial team has proposed a new measure aimed at supporting the token’s value. The plan involves redirecting all protocol-owned liquidity fees toward purchasing and permanently burning WLFI tokens. 

Per the proposal, the program will remove “tokens from circulation held by participants not committed to WLFI’s long-term growth and direction, effectively increasing relative weight for committed long-term holders.”

If implemented, the proposal would allocate 100% of WLFI’s treasury liquidity fees toward buying back and permanently burning tokens. With a fixed total supply of 100 billion, the burn mechanism would make WLFI deflationary, gradually reducing the circulating supply over time and helping to stabilize WLFI’s price.

For now, it remains unclear how quickly the community or protocol would act on the proposal.