World Liberty Financial (WLFI), a decentralized finance project associated with former U.S. President Donald Trump, has burned 7.89 million WLFI tokens worth about $1.43 million. The move followed a $1.06 million buyback across multiple chains, according to onchain data compiled by Lookonchain.
The project collected 4.91 million WLFI tokens ($1.01 million) and $1.06 million in fees and liquidity income from its DeFi operations. It then spent $1.06 million to repurchase 6.04 million WLFI on the open market. The purchased tokens, together with additional allocations, were burned on BNB Smart Chain and Ethereum. Another 3.06 million WLFI, worth $638,000, remains unburned on Solana.
The burn follows a 33% slide in WLFI’s price over the past month. As of Saturday, WLFI traded at $0.2049, up 6% on the day but still down more than 38% from its all-time high, CoinGecko data showed.
The burn program stems from a governance vote earlier this month, where 99% of WLFI holders approved a proposal to use fees from WLFI-managed liquidity pools to repurchase tokens and remove them from circulation. The project specified that community and third-party liquidity pools are excluded.
The WLFI team said the strategy is designed to reduce supply and ease selling pressure. Onchain commentators have suggested the program could retire up to 4 million WLFI daily, which would amount to nearly 2% of the token’s supply each year, though the actual pace remains uncertain.
The project has drawn scrutiny because of its ties to Trump. As previously reported by Cointelegraph, an entity linked to the Trump family holds about $5 billion worth of WLFI after a recent unlock of 24.6 billion tokens. DT Marks DEFI LLC and Trump family members, including Donald Jr., Barron, and Eric, were listed as initial holders of 22.5 billion WLFI.
Following the unlock, WLFI briefly surged to $0.40 before retreating to near $0.21. The connection to Trump and his family has fueled both speculative interest and political controversy, placing WLFI at the intersection of U.S. politics and digital assets.
WLFI’s buyback-and-burn comes amid broader debate on the sustainability of politically branded tokens and governance-led supply strategies. While the latest burn may reduce circulating supply, the token’s sharp decline from its peak highlights ongoing pressure on demand. Analysts note that WLFI’s performance will depend less on tokenomics mechanics and more on whether the project can sustain real DeFi activity beyond political branding.
