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World Liberty Financial plans to buy back its WLFI governance token, with possible funding from fees earned on the reserves behind its USD1 stablecoin and other sources, as the Trump-family-backed crypto venture seeks to strengthen participation among long-term holders.
The company announced the buyback plan Thursday evening. It said purchases would begin with an initial allocation and that it would evaluate the program over time, making buybacks an ongoing part of its strategy.
As of Friday, WLFI was down about 10% since Tuesday’s U.S. midterm elections and more than 60% this year. The token’s decline has added pressure on a venture whose business includes both the governance token and the USD1 stablecoin.
Reserve earnings could fund purchases
The proposed funding would draw on fees or revenue generated by USD1’s reserves, alongside other potential sources. The company described an initial allocation rather than setting a fixed spending target for the program.
WLFI said its goal is to encourage active participation in governance and concentrate more voting power among committed long-term holders. It said the pace and scale of purchases would be guided by growth in the ecosystem and their effect on governance participation.
“We intend for buybacks to be an ongoing part of our long-term strategy with the pace and scale guided by ecosystem growth and impact on governance participation,” the company said.
A new round after earlier buybacks
The latest plan follows earlier purchases. In April, World Liberty disclosed past buybacks totaling $65.6 million in the open market over the preceding six months. That figure refers to the earlier activity, separate from the new program.
World Liberty was co-founded in 2024 by President Donald Trump, his three sons and a group of partners. The Trump family owns 38% of the venture, whose WLFI token gives holders a role in its governance.
JBizNews Desk | New York
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