On 12/12, blockchain analysis firm Lookonchain suddenly revealed that the DeFi project World Liberty Financial (WLFI) has just purchased 2,631 ETH; 41,335 LINK and 3,357 AAVE. The total cost the project spent to accumulate these 3 coins is $12 million.
Trump's World Liberty(@worldlibertyfi) is buying $ETH, $LINK and $AAVE!
— Lookonchain (@lookonchain) December 12, 2024
In the past 9 hours, the World Liberty Multisig wallet spent 10M $USDC to buy 2,631 $ETH at $3,801, 1M $USDC to buy 41,335 $LINK at $24.2, and 1M $USDC to buy 3,357 $AAVE at $297.8.https://t.co/mtD0c2tvvo pic.twitter.com/B11KvcwRJQ
According to data from Arkham Intelligence, these transactions have increased the project's cryptocurrency equity to over $74.7 million. Currently, WLFI holds around 14,576 ETH (worth over $57 million), 102.9 cbBTC (worth $10.3 million) and other assets like USDC along with LINK and AAVE.
WLFI's accumulation moves appear to have impacted market conditions. According to CryptoSlate data, both LINK and AAVE have recorded over 25% gains in the past 24 hours.
WLFI aims to position itself as a leading DeFi platform providing lending, borrowing and digital asset investment services. It is also said to have plans to introduce a proprietary stablecoin and tools to access third-party DeFi applications.
Market Impact
Prior to WLFI's moves, the cryptocurrency community began buzzing with various speculations. Some believe this could be the start of a pro-cryptocurrency agenda under the new US President Donald Trump administration.
A Pseudonymous crypto trader, Flow Horse, suggested that WLFI may have strategically invested in tokens expected to thrive under favorable US regulations.
Meanwhile, other industry analysts also pointed out WLFI's focus on DeFi, viewing the purchases of LINK and AAVE as a signal of confidence in decentralized finance technologies over speculative assets like memecoins.
Zach Rynes, the community manager of Chainlink, emphasized that WLFI's integration of Chainlink Price Feeds for its Aave V3 implementation could be a driving factor behind the buyback. He also noted the accumulation moves may reflect confidence in a more supportive legal environment under the new US President Donald Trump.
The new president's pro-crypto development stance continues to fuel this narrative. Over the past year, Donald Trump has strongly advocated for the industry in his campaign and has made a series of pro-crypto appointments, including the designation of David Sachs as the White House's Crypto Czar.
Observers say these efforts demonstrate a commitment to delivering clear regulatory frameworks and support for the cryptocurrency industry.
World Liberty Financial (WLFI)
According to leaked information, World Liberty Financial (WLFI) is a DeFi project built on the Aave protocol that will function as a crypto bank, with 70% of the project's equity owned by members of the Donald Trump family. This platform may allow investors to deposit and borrow crypto, earning interest for the platform.
Last October, World Liberty Financial officially launched the WLFI token sale. Although it attracted attention from the crypto community due to the backing and advisory role of the US President Donald Trump's family, the project only raised around $30 million, equivalent to 1/10 of the amount it aimed to raise. This was due to factors such as the WLFI token being locked for the first year, the requirement for KYC, and the project being a simple crypto lending platform without any major breakthroughs, aside from plans to issue a proprietary stablecoin in the future.
World Liberty Financial later raised an additional $30 million from "crypto tycoon" Justin Sun and added him to the advisory board.
Despite actively accumulating ETH, Donald Trump and his son Eric Trump have made statements in recent days advocating for Bitcoin after the world's largest cryptocurrency broke the historic $100,000 mark, predicting that BTC will continue to surge under the new presidential term.
VIC Crypto summary
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