Trump Family Gains Control of WLFI, Raises Concerns Over Decentralization

A new report has revealed that the Trump family now holds a majority stake in World Liberty Financial (WLFI), a blockchain-based financial project. This change raises questions about whether WLFI will prioritize decentralization or focus on profits. The ownership shift was first noticed when the company’s co-founders, Zak Folkman and Chase Herro, were removed from their leadership roles. The new structure sees an organization associated with the Trump family holding a majority stake in WLFI. 60% of the company is now controlled by DT Marks DeFi LLC, which acquired this stake through a new holding company, WLF Holdco LLC. This means the Trump family controls both finances and revenue at WLFI. The move has sparked concern about whether WLFI will prioritize decentralization or become a profit-driven venture. The family is expected to earn an estimated $400 million from the funds raised by WLFI. The report shows that after co-founders received their share, only 5% of the total $550 million raised will go towards platform development. This has led to concerns about whether WLFI’s commitment to decentralization remains strong. WLFI launched in 2024 with the aim of providing blockchain-based financial services and eliminating traditional banks. It raised funds through the sale of its governance token, WLFI, which allows holders to vote on key decisions. One prominent investor is Tron founder Justin Sun, who contributed $75 million to the project. However, the Trump family’s growing influence raises doubts about WLFI’s commitment to true decentralization. Critics fear that political ties could hinder openness and attract only certain investors, potentially contradicting the initial decentralized finance (DeFi) vision. The Trump family’s interests in cryptocurrency continue to expand beyond WLFI. On March 31, Donald Trump Jr. and Eric Trump launched American Bitcoin, a mining company, partnered with crypto infrastructure firm Hut 8. This move demonstrates the Trump family’s deeper involvement in the crypto industry, hinting at their belief that blockchain and cryptocurrency assets offer lucrative financial opportunities.