Author: Alex Liu, Foresight News
On the night of December 12th Beijing time, TIME magazine announced that US President-elect Trump was named its Person of the Year, triggering a further rise in related cryptocurrencies. Later, when asked about a "cryptocurrency asset strategic reserve" on the New York Stock Exchange, Trump said "we will do some great things in the field of cryptocurrency."
This is the first time the US president has shown such support for cryptocurrencies. Which cryptocurrency targets are related to him? Do these Trump targets still have upside potential before his inauguration in January? Let's take a look at the inventory and analysis.
WLFI
WLFI is the most closely associated with Trump, but may not be the best investment target. WLFI is the token of the Trump family's cryptocurrency project World Liberty Financial, but the token terms and utility are not ideal, and most of the project's revenue will flow to Trump rather than the token holders:
- Terms and Utility: According to the updated terms and conditions of the WLFI token sale, WLFI is only used for governance and not as an investment tool; all WLFI are currently locked indefinitely in wallets or smart contracts and are non-transferable; if you want to unlock the transferability of WLFI in the future through the protocol governance process, you must meet the following conditions: confirm that it does not violate applicable laws, at least 12 months after the token sale is completed; since the tokens are non-transferable, the company has not taken any action and does not plan to create a secondary market for the tokens; token purchases are non-refundable unless required by applicable law; WLF reserves the right to reject or cancel token purchase requests.
- According to the "World Liberty Gold Paper" document, about $30 million of the initial WLFI revenue is designated as a reserve fund to pay for operating expenses and other financial obligations. The Delaware-based company DT Marks DEFI LLC, which is associated with Trump, will receive 75% of the net protocol revenue. The Trump family will receive 2.25 billion WLFI tokens, worth about $337.5 million at the issue price of $0.015. The remaining 25% of net protocol revenue will go to Axiom Management Group (AMG), a Puerto Rico-based company fully owned by project co-founders Chase Herro and Zachary Folkman. AMG has agreed to allocate half of its revenue rights to companies affiliated with Trump's close friend and political donor Steve Witkoff and some of his family members.
ETH, AAVE, LINK, SCR
Direct investment in the Trump family's cryptocurrency project may not be worthwhile, but betting on the native cryptocurrency projects that the project has chosen to cooperate with and already have a good fundamental background may have a higher chance of success.
World Liberty will deploy an AAVE V3 instance on Ethereum and Scroll. Scroll co-founder Sandy Peng is also an advisor to the World Liberty project. The project's on-chain data and cross-chain connections will also adopt the Chainlink standard.
According to on-chain data, the World Liberty project wallet has bought ETH, LINK, and AAVE tokens, which is also the main news driver for the big gains in AAVE and LINK on December 12th.
In addition to their association with Trump, the above native cryptocurrency projects also have good fundamentals, making them more suitable for "value investing". For example, Chainlink is the industry-leading oracle, and is also working on tokenization and cross-chain; Aave is the largest lending protocol on-chain, and its current project indicators are all at historical highs, but the token price is less than half of the historical high ...
RSR
RSR is the token of the DeFi protocol Reserve Rights, which has no direct connection with Trump, but Paul Atkins, whom Trump has chosen as the next chairman of the US Securities and Exchange Commission (SEC), is an advisor to the project.
DYDX, SOL
DYDX and SOL are also not directly related to Trump, but he has chosen "crypto czar" David O. Sacks, whose Craft Ventures has invested in these two projects.
MEME
Trump-related meme coins are also worth watching, with the larger market caps being:
- TRUMP on Ethereum, currently with a market cap of over $80 million, down nearly 90% from its all-time high in early June
- TREMP on Solana, with a quirky token name and logo, currently with a market cap of $10 million
- MAGA (Maga Hat), with Trump's slogan and campaign hat logo, currently with a market cap of $39 million
