World Liberty Financial: A deep dive into Trump’s DeFi protocol
World Liberty Financial (WLF), backed by Donald Trump, is gaining attention in the decentralized finance space for its ambitious moves and political connections. Launched in September 2024, WLF operates as a DeFi platform focused on borrowing, lending, and investing in digital assets without relying on traditional banks. The project aims to promote US-pegged assets in global financial settlements while offering a governance token, WLFI, that holders cannot trade for profit, aligning user interests with the platform's long-term vision. However, concerns arise as its governance and revenue model appear more centralized, with 75% of net profits directed to a Trump-affiliated entity. In comparison to legacy DeFi platforms like Aave and Curve Finance, WLF introduces no significant innovation and leans on established infrastructure. With a diverse portfolio that includes investments in Ether, wrapped Bitcoin, and stablecoins, WLF's financial strategy aims at maintaining liquidity amid market fluctuations. Ultimately, it questions whether WLF represents a true financial evolution or a politically branded investment vehicle.
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