- The Trump-linked WLFI token launches Sept 1 after a massive $535M presale from 80k investors
- Early investors are up 10-100x, creating significant risk of a dump, similar to the $TRUMP memecoin
- The launch could drain liquidity from other altcoins as capital rushes into the new, hyped token
The most hyped token launch of the year is just hours away. World Liberty Financial’s ($WLFI) token, backed by a massive $535 million presale, is set to begin trading today, September 1, at 13:00 UTC.
With top-tier exchange listings from day one, the setup looks explosive. But with early investors sitting on potential 100x gains and the 88% crash of the last major Trump-related token fresh in everyone’s memory, the big question for traders is simple: is this a historic pump or a catastrophic dump?
The Bull Case: Massive Hype and a Wall of Exchange Listings
The bullish momentum behind WLFI is undeniable, driven by one of the largest presales in recent memory and a slate of day-one listings on nearly every major exchange.
For instance, cryptocurrency Gate.io, for its U.S. customers, announced the listing of WLFI/USDT trading pair on Monday.
Upbit Korea announced on Monday its support for the WLFI token, which is traded against Bitcoin (BTC), Tether USDT, and the South Korean Won (KRW). Bithumb also announced the listing of the WLFI/KRW trading pair on Monday.
Binance, the leading cryptocurrency exchange in globally registered users and crypto trading volume, announced the support for WLFI token, with the Seed Tag applied on the token. Other notable cryptocurrency exchanges, which announced support for WLFI token in the past few days include OKX, Kraken, KuCoin, HTX, MEXC, LBank, and Bitrue.
Which major exchanges are listing WLFI today?
The token will be available immediately on a “wall of liquidity” from nearly every top-tier exchange. Binance (with a Seed Tag applied), Kraken, Gate.io, OKX, KuCoin, Upbit Korea, and Bithumb have all confirmed listings, guaranteeing massive access for traders from the moment it goes live.
The Bear Case: Will Presale Investors Dump on the Market?
Despite the hype, there are significant risks. Early investors are already sitting on massive paper gains, and the precedent set by the last major Trump-related token is not encouraging.
How much are early investors already up?
With an average ICO price of $0.026 and a premarket price around $0.35, the earliest investors are already up 10-100x before the token even launches. Of the 20 billion tokens sold, 5 billion will be unlocked today, creating a huge potential for immediate selling pressure.
Understanding Tokenomics for Word Liberty Financial’s Token
According to the World Liberty Financial official site, the Donald Trump family owns approximately 38% of the WLFI Holdco LLC. As a result, the Donald Trump family received over 22.5 billion of the 100 billion total supply of the WLFI token.
Related: President Trump’s WLFI Leads Institutions in Buying BTC and ETH Dip
According to market data from CoinGekco, the WLFI token that is available on the Ethereum (ETH) and Solana (SOL) networks traded around $2.
Is a crash like the $TRUMP memecoin possible?
The last high-profile token associated with Donald Trump, the $TRUMP memecoin, famously crashed 88% from its all-time high as early holders took profits. If WLFI follows a similar path, buying into the launch hype could be a very risky short-term trade. Adding to this risk is the project’s recently revealed centralized “kill switch” governance model.
Related: Trump-Family-Linked WLF Deploys “Kill Switch” Governance to Manage Sept 1 Token Unlock Risk
Moreover, World Liberty Financial has robust fundamentals and is likely to disrupt the web3 space with the help of the USD1 stablecoin.
The Market Impact: Will WLFI Drain Altcoin Liquidity?
The strategic trading launch of World Liberty Financial’s native token WLFI has coincided with mixed crypto bull market signals. The short-term market uncertainty caused by this month’ Fed rate decision, will likely shake-up wider altcoins’ liquidity in favor of WLFI.
What are top analysts warning?
Crypto analyst Michaël van de Poppe told his followers to “be prepared” for volatility. He noted that while WLFI will likely have a “fantastic launch,” it will almost certainly “drag the liquidity from other altcoins,” potentially causing an initial WLFI price surge while other altcoins see a pullback.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
