Trump-Linked WLFI Drops 17% as 62B Token Unlock Proposal Advances

The native token of the Trump-linked World Liberty Financial project, WLFI, has recorded double-digit losses within 36 hours. 

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This decline followed the opening of governance voting on a proposal to unlock billions of WLFI tokens. Although the proposal received overwhelming support, WLFI’s price fell by more than 17% within hours. This highlights a disconnect between governance outcomes and market sentiment.

Key Points

• WLFI’s price plunged more than 17% within 36 hours.
• Whale activity spiked sharply, with 15 large transactions recorded in just four hours.
• The sell-off began immediately after voting on a proposal to unlock over 62 billion WLFI tokens began.
• Governance remains highly concentrated, with the largest wallet controlling about 13% of the vote and the top four wallets holding roughly 40%.

WLFI Dips 17% After Token Unlock Proposal Cleared Quorum

According to data from Santiment, Trump-backed WLFI plunged 17% within just 36 hours after the token unlock proposal entered its voting phase. Notably, the price dropped from a peak of $0.074 on April 28 to $0.061 today, marking a 17.56% decline.

The price decline coincided with intensified selling pressure as voting began on the plan to unlock over 62 billion tokens.

In particular, large transactions spiked to 15 within a four-hour window on April 29, the highest level recorded in the past two weeks.

Major Factor Behind the Drawdown and Selling Pressure

At the core of this development lies a major overhaul of tokenomics. The proposal introduces a structured plan to unlock 62.28 billion WLFI tokens over five years, following a two-year cliff that prevents any immediate supply from entering the market.

Specifically, the allocation includes 45.2 billion tokens for insiders and 17 billion for early supporters. In addition, the plan incorporates a deflationary element, as insiders will burn 10% of their allocation, amounting to roughly 4.5 billion WLFI.

Meanwhile, the proposal has already secured 99.5% approval and cleared quorum early, underscoring near-unanimous support and accelerating its path to implementation.

For context, this structure improves transparency. It replaces indefinite lockups with a predictable emissions schedule and gives investors a clearer valuation framework. However, the market’s reaction did not go as expected.

Instead of focusing on the delayed unlock timeline, traders appear to be pricing in future dilution risks. Even though the additional supply will not enter circulation immediately, the expectation that tens of billions of tokens will eventually unlock continues to weigh on current demand.

Large Wallets Control Voting Outcome

Meanwhile, the governance structure raises additional concerns. Although participation levels remained consistent with previous proposals, voting power is heavily concentrated. The largest wallet accounted for nearly 13% of votes, while the top four wallets collectively controlled about 40%, more than enough to influence the outcome decisively.

As a result, a small group of large holders can effectively shape major decisions, limiting the influence of smaller participants and raising questions about the decentralization of decision-making.

Sharp Criticism

In recent times, WLFI has faced reputational challenges. Earlier this month, Justin Sun accused the project of freezing his tokens and stripping his governance rights—claims the team has denied.

Although the dispute remains unresolved, it adds another layer of uncertainty at a time when investor confidence is already under pressure.