The anticipated launch of Donald Trump’s Global Financial Freedom (WLFI) token has faced global challenges in raising the expected $300 million. Thus, fundraising activities were described as a Complete failure Within two days after its launch on October 15, WLFI had raised only about $11 million which was only 4% of the goal. In fact, with a lot of effort put into advertising the project, which was described as a “crypto bank,” things became different.
Technical issues affect Trump token sales
The WLFI symbol was supposed to generate huge interest especially with Trump at the helm. Co-founder Zachary Volkman said there are more than 100,000 people willing to put their money in. But the other side of the coin is completely different. Project The site cannot be accessed for long periods, drawing the ire of potential buyers who tried in vain to participate in the sale.
However, in actual sense, the token is actually held by less than 9,300 unique wallets, which is a far cry from expected investor uptake. Initial problems associated with the project not only reduced sales during launch, but also created them Viable concerns Regarding the future of the project.
Identify investor position and regulatory issues
The WLFI token is described as a Regulatory Offering D as it is only offered to a specific group of people known as accredited investors or individuals with a net worth of more than $1 million or a gross income of up to $200,000 per year.
This restriction on listing investors effectively reduces the available client base. In addition, unlike many Cryptocurrencies Allowing instant trading of its tokens, WLFI tokens are non-transferable and are essentially governance tokens. Investors can vote on proposals in the platform but are relatively passive at the moment.
Aside from these hurdles, Trump very quickly after the launch published a post on social media urging his fans to invest in him WLFI. He went on to say that cryptocurrencies are the way to go, but his call to action did not lead to an immediate increase in sales.
Cloudy future ahead?
However, WLFI’s future is uncertain even as it struggles to gain momentum. The funds raised are intended for the WLF treasury, but without a clear path plan or significant rewards for investors, confidence could continue to erode. Critics have noted that WLFI is not transparent. It has not published a comprehensive white paper or business plan that seasoned investors typically require of such initiatives.
Meanwhile, despite the hiccups, Etherscan data I verified that thousands of investors rushed into the Trump-endorsed DeFi project. In the first hour, 3,000 different addresses collected around 350 million WLFI coins in the face of a difficult start.
Featured image by Andrew Harnik/AP, chart from TradingView
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