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Trump-Associated WLFI's Stability Strategy Disrupted as Investors Rush to Take Profits

Trump-Associated WLFI's Stability Strategy Disrupted as Investors Rush to Take Profits

Bitget-RWA2025/11/14 04:30
By:Bitget-RWA

- Jump Crypto's $15.4M WLFI token transfer to Binance triggered a 6% price drop, exposing the token's volatility amid profit-taking pressures. - WLFI partnered with AB Chain to deploy USD1 stablecoin on a high-performance blockchain, aiming to boost transaction speed and DeFi integration. - Despite token burns and buyback proposals, WLFI's 31% post-launch decline raises doubts about supply management's efficacy in stabilizing investor confidence. - Market observers track $280M open interest surge, highligh

World Liberty Financial's (WLFI) token experienced a sharp decline in price after Jump Crypto, a significant stakeholder, moved 100 million

tokens—valued at roughly $15.4 million—to Binance, suggesting increased selling activity. Earlier in the week, the token had climbed 26% during a broader market upswing linked to the resolution of a U.S. government shutdown, but it following the transfer, with CoinMarketCap listing its price at $0.1640. This shift highlighted the token's susceptibility to market swings, even as , associated with the Trump family, continues to compete in the evolving digital finance sector.

This development occurred alongside WLFI's new alliance with AB Chain to launch its

stablecoin on AB Chain’s advanced blockchain platform. The partnership and broaden access for USD1, a stablecoin on Solana introduced in August 2025. AB Chain’s ecosystem, featuring the no-fee AB Wallet, is anticipated to boost USD1’s adoption in decentralized finance (DeFi), payments, and liquidity management. This collaboration also reflects WLFI’s broader goal of integrating stablecoin technology, which could help stabilize its token’s value amid ongoing market volatility.

Trump-Associated WLFI's Stability Strategy Disrupted as Investors Rush to Take Profits image 0
WLFI has faced ongoing price instability since its launch in September. The token started at $0.331 but quickly fell by more than 31%, to cut supply and help steady the price. Developers have also suggested a buyback initiative to further bolster the token. Nevertheless, Jump Crypto’s recent profit-taking—despite WLFI’s $550 million in public sales and a base of 85,000 holders—has cast doubt on the long-term effectiveness of these strategies in restoring investor trust.

Analysts are

, which soared to $280 million within a day, reflecting a spike in speculative trading. Investors are managing risk and increasing leverage as the token’s volatility remains high, a pattern often seen in markets with substantial open interest. At the same time, WLFI’s USD1 stablecoin and token burn efforts represent a two-pronged approach to attract both institutional and retail participants, though their effectiveness is still uncertain in a market challenged by regulatory and political headwinds.

As WLFI works to prove its value, the AB Chain partnership and ongoing supply controls may prove pivotal. The Trump family’s connection brings additional political attention and intrigue to a sector already under scrutiny for governance concerns. For now, observers are watching to see if these initiatives can deliver lasting value or simply postpone corrections in this highly speculative market.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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