WLFI’s Bold Buyback Strategy: Will Creating Rarity Lead to a Revival?
- World Liberty Financial (WLFI) approved a 100% token buyback/burn plan with 99.8% community support, aiming to reduce supply and reward long-term holders. - The program redirects Ethereum, BNB Chain, and Solana liquidity fees to repurchase and permanently destroy WLFI tokens via transparent on-chain processes. - Analysts predict a potential 25% price rebound post-approval but caution risks from fee volatility, liquidity challenges, and limited funds for development amid a 60% price drop from peak. - Stra

World Liberty Financial (WLFI), a project associated with former U.S. President Donald Trump, has officially enacted a complete token buyback and burn plan, with an overwhelming 99.8% of the community voting in favor. This initiative redirects all treasury liquidity fees from
The buyback system works by directing liquidity pool fees to buy WLFI on the market, which are then destroyed through a transparent, on-chain process. This ensures all transactions can be tracked using block explorers like Etherscan. The program specifically excludes fees from third-party liquidity providers, focusing only on protocol-owned liquidity (POL) to prevent market distortions. By permanently removing tokens from circulation, WLFI aims to reward dedicated holders, as a reduced supply should gradually increase their share of ownership WLFI Community Approves Buyback and Burn Proposal with … [ 3 ].
The proposal received near-unanimous backing, with 99.84% of votes supporting it, according to an analysis by KuCoin. Supporters believe allocating all fees to buybacks maximizes the deflationary effect, unlike other suggestions to split fees between operations and burns. This marks a strategic shift toward value creation through scarcity, with WLFI co-founder Zak Folkman hinting at future developments, such as a debit card compatible with Apple Pay and a
Experts have pointed out both the opportunities and risks of this approach. While burning tokens could help stabilize WLFI’s price, there is uncertainty about the size of treasury fees and overall liquidity. For example, if monthly fees reach $100,000 and each token is priced at $0.20, around 500,000 WLFI could be burned each month, totaling roughly 6 million tokens a year. However, factors like inconsistent execution, slippage during trades, and dependence on decentralized exchanges (DEXs) introduce challenges WLFI approves 100% buyback and burn: impact, risks, and data [ 2 ]. Additionally, dedicating all fees to burning leaves fewer resources for development, audits, and ecosystem incentives, raising concerns about the project’s long-term viability.
WLFI’s strategy aligns with broader efforts to drive adoption, including a partnership with South Korea’s Bithumb exchange. The memorandum of understanding (MOU) aims to grow WLFI’s presence in a region with a $72 billion crypto market cap. The token’s addition to Robinhood further highlights its push for mainstream reach, with trading on the platform starting September 25 Trump-Linked WLFI Passes 100% Buyback & Burn Proposal [ 1 ]. Despite these initiatives, WLFI’s price remains under $0.22, down 28% since launch, according to CoinMarketCap.
The effectiveness of this plan will rely on steady fee generation, transparent implementation, and market trust. On-chain data will be essential for monitoring progress, with indicators such as monthly treasury income, burn address balances, and DEX liquidity depth providing key insights. While the deflationary approach offers a structural benefit, its ability to reverse WLFI’s downward trend is still unproven. Investors should keep an eye on these metrics and governance updates, as future proposals may adjust fee allocations or broaden the program’s objectives WLFI approves 100% buyback and burn: impact, risks, and data [ 2 ].
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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