What is World Liberty Financial?

The World Liberty Financial project is a decentralized platform built in collaboration with the Ethereum blockchain, Solana, and the Episcopal blockchain.

The project is backed by the former president of the United States, Donald Trump, and his family. It uses decentralized technology to provide general DeFi services like borrowing, lending, and investing features.

While there is barely any information on the Episcopal blockchain or the project’s yield farming features, the project aims to provide user-friendly experiences to onboard non-crypto participants.

History of World Liberty Financial Project

The project was conceived in the first quarter of 2024 by a team led by Steve Witoff, Chase Harro, and Zachary Folkman.

Steve is a real estate businessman and founder of the Witkoff Group. Chase Herro is a YouTuber, entrepreneur, and founder of Subify LLC, who is involved with numerous crypto projects. Zachary Folkman is an entrepreneur and investor who runs an infopedia focused on educating founders and startups.

After the project’s inception, it filed a trademark for World Liberty Financial in Puerto Rico. The filing was done in July 2024 by AMG Software Solutions, which has the same home address as Herro’s Subify LLC.

In September 2024, the project’s chief advocate and former president, Donald Trump, announced details of World Liberty Financial in an X space. The space also hosted other members of the Trump family, such as Barron Trump, who played the role of the project DeFi visionary, and Eric Trump, who played the role of Web3 ambassador.

Features of the World Liberty Financial Ecosystem: Digital Wallet, Lending and Borrowing Services and Community Governance

Digital Wallet

World Liberty Financial’s digital wallet is part of the platform that allows users to store and manage their cryptocurrencies. While details on its design are scarce, it would aid in streamlining transactions on the platform.

Since the World Liberty Financial project is built using multiple blockchains, the wallet would also support multi-chain assets and transactions.

Lending and Borrowing Services

As a DeFi platform, the World Liberty Financial project is built to provide lending and borrowing services to its users. It also allows users to access financial tools that help maximize the value of their assets.

This would allow lenders to earn on their assets at rates beyond what traditional banks provide. It also allows borrowers to access liquidity against their crypto holdings instantly.

Community Governance

This feature allows token holders the power to be involved in the decision-making processes affecting the platform. Users can participate in voting and choose the developmental direction for World Liberty Financial.

Decentralized governance features also allow users to participate actively beyond governance activities.

Core Components: Ethereum Blockchain, Solana Blockchain and Decentralized Finance (DeFi)

Ethereum Blockchain

The decentralized nature of the Ethereum Blockchain allows people to create peer-to-peer financial projects and decentralized autonomous networks. This feature enables World Liberty Financial to launch its governance token, WLFI.

In addition to its token, the project can provide a long list of DeFi services, ranging from simple activities to complex transactions.

Solana Blockchain

The Solana network supports applications like decentralized finance (DeFi), non-fungible tokens (NFTs), and gaming. Like Ethereum, the smart contracts on Solana allow applications to operate automatically.

World Liberty Financial uses the Solana blockchain to provide its users with fast, user-friendly financial services. The Solana blockchain enables the project to conduct micropayments and fast-track financial transactions on its platform.

Decentralized Finance (DeFi)

DeFi platforms and applications use smart contracts to remove the human element while processing transactions. This allows the project to check, verify, and approve transactions trustlessly.

World Liberty Financial aims to provide decentralized services as easily as traditional financial platforms. It would allow users to lend, borrow, and earn without the steep learning curve associated with liquidity pools and impermanent losses.

It would also utilize smart contracts to automate transactions and protect users from the centralization existing in traditional banking sectors.

What is the WLFI Token?

WLFI Token Distribution

The WLFI token is the project’s governance token. People who own WLFI tokens can vote on important decisions about the platform. The token is created using the ERC-20 standard on the Ethereum network.

The WLFI token has a total supply of 1 billion tokens. Its tokenomics allocates 63% (629.99 million) to public sales, 17% (169.50 million) to reward its users, and 20% (199.99 million) to the founding team and advisors.

The tokens will not have presales to ensure equal access for all investors when they become available. The SEC would oversee the token sales and sell them to investors approved under its regulation D.

Is the WLFI Token a Good Investment?

The WLFI token cannot be transferred. This means its primary use is to allow holders to participate in the platform’s decision-making processes rather than providing economic rights or the ability to trade freely.

While this might not appeal to users seeking financial gain, it would gather a community of investors interested in developing the DeFi space.

Risk Analysis

Advantages

The project’s key advantage is the DeFi features, which are designed to rival traditional banks’ ease of use. The project also utilizes a non-transferable governance token for holders to decide the project’s future.

Disadvantages

The project’s first disadvantage is its token sale, which is only conducted for investors approved by the government under the SEC’s Regulation D.

This only gives some interested participants access to decision-making on the platform, which would make it unappealing on a global scale. The regulatory oversight could also affect the project’s operations and investor confidence.

Another disadvantage is its non-transferable nature. Investors can’t sell their tokens to others or withdraw their investment in the platform, which would deter many participants from investing in the project.

Challenges

The Ethereum blockchain is the most prominent host for DeFi projects, and it has numerous features and utilities. This makes it difficult for the project to stand out or innovate beyond established projects.

It is also a new project with significant allocations to the team and founders, raising concerns about the centralization of governance. While it is overseen by the SEC, it is susceptible to regulatory uncertainty and price volatility in the crypto space.

Competitive Analysis

Dough Finance and World Liberty Financial are cryptocurrency projects that operate within the DeFi ecosystem, but they focus on different areas of financial services.

Dough Finance lets users lend and borrow crypto to earn interest or get quick cash. At the same time, World Liberty Financial focuses on simple DeFi features to replicate activities in the traditional banking space.

Dough Finance focuses on lending and borrowing, emphasizing user engagement and security. Meanwhile, World Liberty Financial focuses on governance with Donald Trump’s and his family’s backing.

How Can You Own WLFI Tokens?

Users can follow a simple process to own WLFI tokens and become a part of the ecosystem.

Setup a Wallet

One way to own WLFI tokens is to create a Gate.io account, complete the KYC process, and add funds to the account.

Then, users need to get SEC Regulation D approval before purchasing tokens and storing them in the Gate io wallet.

Utilize the WLFI Tokens

Once users have acquired WLFI tokens, they can explore the WLFI ecosystem by participating in DeFi, governance, and voting.

Useful References

For the latest updates about the World Liberty Financial ecosystem, visit:

• Official Website
• Twitter
• Telegram

Take action on WLFI

Learn more about the World Liberty Financial project on Gate.io.