SuperEx丨Trump Family’s DeFi Project Launching for Sale on the 15th, Targeting $300 Million

superex · October 16

#SuperEx #Trump #WLFI

The decentralized finance project World Liberty Financial (WLFI), associated with Donald Trump, has announced that its public sale will launch on Tuesday (October 15), with a goal to raise $300 million at a valuation of $1.5 billion. Prior to this, the project had been heavily promoted for nearly two months, with the entire Trump family involved. Trump himself has repeatedly endorsed the project on platforms like Space and X, positioning himself as a new-generation crypto ambassador.

However, compared to its ambitious fundraising target of $300 million, the first day of token sales only brought in tens of millions, falling far short of expectations.

More importantly, while the involvement of the Trump family has brought significant attention to WLFI, the market seems to be desensitized to lofty promises. This has led to a decline in confidence in Trump’s endorsements, not to mention the project’s previous controversies surrounding nepotism.

With only 20 days left until the election, the timing of this crypto project’s debut has sparked concerns about its potential political implications. Some observers question whether the project is intended to sway voters, particularly young ones who are interested in cryptocurrency.

Additionally, WLFI has faced significant criticism for its internal management issues. Detractors have pointed out that most of the project’s core team members have direct or indirect ties to the Trump family, raising concerns about transparency and fairness. Some thought leaders in the crypto community have openly suggested that WLFI may simply be using Trump’s political influence to attract investors who are not well-versed in the intricacies of decentralized finance.

Beyond the internal issues, there are warnings from external observers about the political undertones of WLFI. Given the proximity to the U.S. presidential election, the project’s launch has led to concerns that it might be intended to influence voters’ support for Trump, particularly those interested in crypto. Although the WLFI team has vehemently denied any political motivations, claiming the project’s goal is to create a global decentralized financial platform free from political interference, skepticism continues to spread.

Worse still, the volatility in the crypto market, particularly as the election approaches, is causing investors to be more cautious. WLFI’s ability to meet its ambitious fundraising goals in the short term will largely depend on market confidence in its long-term prospects, as well as the Trump family’s ability to maintain their position as project ambassadors.

Upon closer analysis, it becomes evident that this project might merely serve as a way for Trump to expand his fundraising channels, effectively functioning as an alternative form of political donations. This theory is not baseless — compared to the traditionally well-funded Democratic Party, the Republican Party has faced significant fundraising challenges. According to Federal Election Commission records, by July 31, the Harris team had raised $770 million, having spent $440 million, while the Trump team had raised $570 million and spent $310 million. Recent data shows that from July 1 to September 30, the Harris team raised $633 million — a remarkable amount in such a short period, even by election standards — while Trump raised just $350 million in the third quarter, creating a substantial gap between the two.

In terms of fundraising channels, Harris primarily utilizes the Carey Committee, while Trump relies on Super PACs. Although both allow for unlimited contributions, the former has the added advantage of allowing “direct donations,” where funds can be given directly to the candidate or party, whereas the latter can only be used for unlimited spending on advertisements and promotions, making it less efficient than the Harris team’s approach.

For these reasons, Trump’s sudden move into crypto fundraising just before the election seems logical. This also indicates that the success of the project is closely tied to Trump’s election prospects. The potential benefits to donors are even more significant, but for now, it appears that the Trump family has high hopes for this project, particularly eyeing the stablecoin market as a crypto cash cow.