Controversial Vote Approved in Donald Trump-Backed Altcoin World Liberty Financial (WLFI)! Here Are the Changes It Brings
At the end of February, US President Donald Trump and his family’s DeFi project, World Liberty Financial (WLFI), proposed a new staking-focused governance system for WLFI holders.
The proposal, which sparked controversy due to its potential to affect investors’ governance rights, was put to a vote last week.
The vote has concluded, and WLFI has approved the proposed new staking governance system.
World Liberty Financial (WLFI) has had its proposal to introduce a new staking management system approved with a 99.16% approval rate.
Under the new system, “unlocked” WLFI token holders will need to stake their tokens for at least 180 days to retain their voting rights. During this period, the tokens will be locked, and investors will receive a 2% annual return in WLFI tokens.
Additionally, participants’ voting power will be determined based on the amount staked and the remaining lock-up period.
The system also includes tiered incentives. Nodes staking more than 10 million WLFI ($1 million) will be able to exchange 1 USD for USDT or USDC, the stablecoin of WLFI, at a 1:1 ratio via over-the-counter (OTC) transactions.
Those who stake more than 50 million WLFI will receive additional benefits, such as priority in partnership discussions with the team.
Staking participants will also vote on the unlocking schedule for the approximately 80% of the currently locked WLFI supply.
However, concerns have also been raised that this structure could potentially reduce investors’ voting rights.
At this point, WLFI investor Morten Christensen stated that he planned to vote against the proposal during the vote, saying that investors were participating in the project with a great deal of uncertainty. Christensen had previously been among those invited to an event organized by Trump for memecoin investors.
*This is not investment advice.
Continue Reading: Controversial Vote Approved in Donald Trump-Backed Altcoin World Liberty Financial (WLFI)! Here Are the Changes It Brings
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