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World Liberty Financial (WLFI), the cryptocurrency project supported by President-elect Donald Trump, has made a significant acquisition, purchasing $5 million worth of Ethereum (ETH) on Wednesday.
This brings the project’s total ETH holdings to over $50 million, primarily accumulated over the past several weeks, according to onchain data.
Per onchain data, a wallet linked to the Aave fork initiated three transactions earlier in the day, acquiring 1,285 ETH tokens from CoW Swap, a decentralized exchange.
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Wallet Funded by Profits from World Liberty Financial Token Sale
The wallet appears to be funded by the ongoing WLFI token sale profits, with stablecoin holdings used for the purchase.
The World Liberty project has been transferring funds from its contract address, 0xe217e15b, to the wallet 0x5be9a495, which has shown no outgoing transactions.
The move to swap stablecoins for ETH suggests that World Liberty Financial is deepening its engagement with the crypto market. It could also indicate that the project sees ETH as a more valuable reserve asset than the U.S. dollar.
World Liberty’s structure gives the Trump family-controlled LLC managing the project 75% of the proceeds from WLFI token sales, with discretion over the project’s treasury management.
Trump’s DeFi Project Swaps Millions In Stablecoins for ETH, Onchain Data Shows
On-chain data reveals that World Liberty Financial, a DeFi crypto project supported by Donald Trump and his family, has been converting stablecoins into Ethereum (ETH). This activity was observed… pic.twitter.com/uCU689mwDX
— The Wolf Of All Streets (@scottmelker) December 12, 2024
According to Arkham Research, the 0x5be9a495 wallet holds approximately $73 million in digital assets, including over $50 million in ETH, $10 million in wrapped Bitcoin (cbBTC), $8 million in USDC, and $3 million in USDT stablecoins.
The World Liberty Financial project has been active on CoW Swap, completing 146 swaps since its inception. The platform, which aims to find the best possible execution prices by matching users’ buy and sell orders, has been central to World Liberty’s trading strategy.
Notably, Wednesday’s ETH acquisition is one of its largest in recent weeks, following two other significant buys of approximately 2,000 and 3,000 ETH earlier this month.
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Trump’s Crypto Project Sells Over $55M in Tokens
Since launching the WLFI token sale on October 15, the project has sold over $55 million in tokens, although it had initially aimed to raise $300 million, according to data from Dune Analytics. The sale is restricted to accredited investors in the U.S., who must meet specific income or net worth criteria.
Despite his earlier skepticism towards Bitcoin, Trump has recently become an outspoken supporter of the cryptocurrency industry. He has proposed actions such as firing SEC Chair Gary Gensler and freeing Silk Road founder Ross Ulbricht.
Additionally, Trump has appointed David Sachs, a podcaster, as the “Crypto Czar” in his cabinet and pledged to make America the “crypto capital of the world” through initiatives like World Liberty’s lending and borrowing platform.
Furthermore, he has selected Paul Atkins, a crypto advocate and former SEC commissioner, as his choice to lead the Securities and Exchange Commission (SEC).
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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
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