World Liberty Financial (WLFI), a crypto initiative aligned with President-elect Donald Trump, has made waves in the decentralized finance (DeFi) space with a significant investment of $50 million in digital assets. The transactions, disclosed on December 11, show the project’s commitment to expanding its DeFi footprint.
Donald Trump’s WLFI Invests Heavily in DeFi Tokens
A breakdown of WLFI’s latest purchases reveals $35 million allocated to Ethereum (ETH) and Wrapped Ethereum (WETH), according to Arkham Intelligence. It also invested $10 million in Coinbase-wrapped Bitcoin (cbBTC), and $2 million evenly split between Chainlink (LINK) and Aave (AAVE). These acquisitions highlight WLFI’s diversified approach to supporting its platform, which aims to integrate DeFi solutions for borrowing, lending, and liquidity provisioning.
UPDATE: DONALD TRUMP’S WORLD LIBERTY FI ACQUIRED $50M OF DEFI COINS
The World Liberty Finance Treasury just acquired:
$35M of ETH/WETH
$10M of cbBTC
$1M of LINK
$1M of AAVEIs Trump long DeFi? pic.twitter.com/m02om23hZa
— Arkham (@arkham) December 12, 2024
For context, on-chain data analytics from Lookonchain confirmed that WLFI’s multisignature wallet acquired 2,631 ETH at an average price of $3,801 on Wednesday, December 11. The firm also acquired 41,335 LINK tokens bought at $24.2 and 3,357 AAVE tokens at $297.8. Notably, this is the first time the platform has included LINK and AAVE in its treasury, signaling a potential shift in its investment strategy.
Further analysis by Spot On Chain revealed that WLFI has been steadily building its Ethereum reserves, with $30 million spent over the last 12 days to purchase 8,105 ETH at an average price of $3,700. This consistent buying activity suggests a calculated effort to bolster WLFI’s position in the DeFi ecosystem.
Impact on ETH, LINK, AAVE Prices
Market reactions were swift, with the price of LINK and AAVE surging by 30% and Ethereum climbing nearly 7% at the time following the announcement. These price movements underscore the influence large-scale institutional investments can have on the crypto market.
While WLFI’s long-term plans remain under wraps, its recent activity reflects a growing trend of high-profile figures and projects embracing DeFi. The investments may also signify strategic preparations for expanding WLFI’s platform capabilities and solidifying its presence in the fast-evolving crypto space.
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