Why did the price of WLFI fall?

World Liberty Financial (WLFI) dropped 6.5% in the last 24 hours, underperforming the overall crypto market, which fell by 1.46%. The main reasons include investors taking profits after WLFI was listed on Binance.US, political backlash related to former President Trump’s pardon of Binance’s CEO, and negative technical signals suggesting weaker price support.

1. Sell-Off After Exchange Listing – When Binance.US started WLFI trading, many investors sold their holdings, following a common pattern of “buy the rumor, sell the news.”
2. Political Controversy – Some Democrats criticized Trump’s pardon of Binance’s CEO, linking it to WLFI’s funding, which added uncertainty.
3. Technical Weakness – WLFI’s price fell below important support levels, and indicators show buying momentum is weak.

In-Depth Analysis

1. Sell-Off After Exchange Listing (Negative Impact)

Summary: WLFI’s price jumped 20.7% after Trump pardoned Binance’s CEO, CZ, on October 23. However, once Binance.US began trading WLFI against USDT on October 29, the price reversed. This is a typical pattern where early investors sell to lock in profits after a new exchange listing.

Why it matters: The listing increased trading activity but also allowed early investors, who bought WLFI at prices between $0.015 and $0.05, to sell their tokens. Data from Santiment shows large holders (whales) closed their long positions with losses of $1.63 million after the listing, signaling bearish sentiment.

What to watch: If a large number of WLFI tokens keep flowing into exchanges, it could mean more selling pressure and further price declines.

2. Political Backlash (Mixed Impact)

Summary: On October 27, Democratic lawmakers Elizabeth Warren and Adam Schiff introduced a resolution condemning Trump’s pardon of Binance’s CEO, suggesting it was connected to Binance’s financial support for WLFI. Additionally, Representative Ro Khanna proposed banning politicians from trading cryptocurrencies, adding regulatory uncertainty.

Why it matters: Although the resolution is unlikely to pass in a Republican-controlled Senate, it highlights the political risks WLFI faces. Investors worry that increased scrutiny could delay WLFI’s plans to launch a debit card or adopt a stablecoin.

3. Technical Weakness (Negative Impact)

Summary: WLFI’s price fell below its 30-day simple moving average (SMA) of $0.1609 and is facing resistance near the 38.2% Fibonacci retracement level at $0.172. The Relative Strength Index (RSI) is at 46.31, indicating neutral momentum, while the MACD histogram shows a slight bullish signal but not strong enough to reverse the trend.

Why it matters: Until WLFI’s price moves back above $0.16, technical indicators suggest sellers have the upper hand. A 20% drop in 24-hour trading volume also points to declining interest, which could increase price volatility.

Conclusion

WLFI’s recent price decline is driven by profit-taking after the Binance.US listing, political concerns, and weak technical support. While the new exchange listing makes WLFI more accessible, regulatory uncertainties and lackluster momentum may keep the price under pressure.

Key points to monitor: Will WLFI resume its treasury token burn program (47 million tokens were burned in September) to reduce selling pressure? Also, keep an eye on Senate discussions about Khanna’s proposed crypto-trading ban and the flow of WLFI tokens into and out of exchanges.

What could affect the price of WLFI?

WLFI’s price is influenced by political challenges, adoption opportunities, and large investor activity.

1. Regulatory Challenges – New U.S. laws targeting politicians’ crypto trading could cause sell-offs.
2. Adoption Opportunities – Binance listing and upcoming debit card may increase demand.
3. Large Investor Activity – Big holders controlling $890M in WLFI create price swings.

Deep Dive

1. Regulatory Challenges (Mixed to Negative Impact)

Overview: Proposed U.S. legislation (Khanna’s bill) aims to stop politicians and their families from trading cryptocurrencies, directly affecting WLFI due to its ties with Trump. Additionally, the GENIUS Act’s new stablecoin regulations could slow the growth of USD1.

What this means: Increased political scrutiny might lead to panic selling if legal issues around Trump intensify. On the other hand, clearer rules for USD1, if it complies, could help stabilize demand by making it more trustworthy.

2. Adoption Opportunities (Positive Impact)

Overview: Binance.US plans to list WLFI/USDT and USD1 on October 29, 2025 (Coinspeaker), which will improve liquidity. WLFI’s upcoming debit card and retail app, expected in Q4 2025, aim to integrate USD1 into everyday payments.

What this means: Exchange listings often lead to short-term price increases. More importantly, real-world uses like cross-border payments with USD1 could create steady, long-term demand if adoption grows.

3. Large Investor Activity (Mixed to Negative Impact)

Overview: Justin Sun’s frozen $890 million WLFI stake (ChainDesk) shows how concentrated WLFI ownership is. A recent burn of 47 million tokens didn’t stop a 40% price drop after tokens were unlocked in September 2025.

What this means: Big holders, who control about 56% of governance votes, can influence prices by selling or holding large amounts. Token burns alone may not reduce price swings without strong demand from regular users.

Conclusion

WLFI’s price depends on how well it handles political pressures, delivers practical uses, and manages large investor influence. While regulatory risks remain, new exchange listings and product launches provide potential growth. Will USD1’s adoption grow faster than regulatory challenges? Keep an eye on Binance trading volumes after the listing and audits of stablecoin reserves.

What are people saying about WLFI?

The World Liberty Financial (WLFI) community is divided between cautious hope and growing concern as token burns try to counteract large sell-offs by major holders. Here’s the latest:

1. Token burns vs. falling demand – A buyback plan was approved, but the price keeps dropping.
2. Justin Sun’s $500M frozen – He’s accused of manipulating the market through cross-exchange trading.
3. Whales lose over $1.6M – Big investors panic-sold after launch volatility.

Deep Dive

1. @bl_ockchain: Buyback Burn Fails to Stop Price Drop Bearish

“47 million tokens burned, yet WLFI is down more than 40% since listing. Burning tokens only helps if there’s strong demand – right now, confidence is low.”
– @bl_ockchain (12.3K followers · 48K impressions · Sept 6, 2025)
View original post
What this means: This is a negative sign for WLFI. Simply reducing the number of tokens available isn’t enough to boost the price when trading volume has dropped 70% from its $5 billion launch peak (CCN).

2. @EtherWizz_: Justin Sun’s $500M Freeze Mixed

“Sun moved WLFI tokens from Binance to sell, then bought back at a lower price. The team has now locked his 540 million unlocked tokens plus 2.4 billion locked tokens.”
– @EtherWizz (8.1K followers · 22K impressions · Sept 5, 2025)
[View original post](https://x.com/EtherWizz/status/1963852277296271710)
What this means: This is a mixed but leaning negative signal. While freezing these tokens helps prevent market manipulation, it also shows risks tied to WLFI’s ownership concentration—about 60% of tokens are controlled by the Trump family and large holders (PrimeXBT).

3. @0xc06: Whale Loses $1.63M After Launch Bearish

“One large holder closed a position with a 40% loss. WLFI is ranked among the top 10 tokens with the most negative sentiment.”
– @0xc06 (15.8K followers · 89K impressions · Sept 5, 2025)
View original post
What this means: This is a bearish sign for WLFI. Forced sell-offs and negative market sentiment are pushing the price down, with the Relative Strength Index (RSI) at 44.46 indicating weak momentum (Yahoo Finance).

Conclusion

The outlook for WLFI is mixed. Efforts to reduce token supply through governance-approved buybacks (approved by 99.8% of voters, per CoinDesk) could help, but the token is struggling with volatility and large holders selling off. The key price level to watch is $0.2050. The upcoming governance decision on September 19 will be critical—if WLFI can’t hold above $0.20, it may continue falling toward $0.16.

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What is the latest news about WLFI?

World Liberty Financial (WLFI) is navigating a complex mix of political challenges and market developments. As a cryptocurrency linked to former President Trump faces regulatory pressure and new exchange listings, here are the key updates:

1. Binance.US Lists WLFI & USD1 (October 28, 2025) – Trading starts October 29 amid controversy over Trump’s pardon of Binance’s CEO, Changpeng Zhao (CZ).
2. Crypto Ban Bill Targets Trump (October 28, 2025) – Democrats propose banning government officials from trading crypto after CZ’s $2 billion UAE investment in WLFI.
3. Trump Media Launches Prediction Markets (October 28, 2025) – Partners with Crypto.com to launch “Truth Predict,” integrating WLFI’s ecosystem.

In-Depth Look

1. Binance.US Lists WLFI & USD1 (October 28, 2025)

What happened:
Binance.US announced it will start trading WLFI/USDT and USD1/USDT pairs on October 29. This comes after President Trump controversially pardoned Binance’s CEO, CZ, who recently invested $2 billion from the UAE into WLFI’s USD1 stablecoin. Democrats claim this investment was part of a deal linked to the pardon.

Why it matters:
This listing could boost WLFI’s trading volume and visibility, which is positive in the short term. However, political scrutiny may cause price swings and increased volatility as news unfolds. (Coinspeaker)

2. Crypto Ban Bill Targets Trump (October 28, 2025)

What happened:
Representative Ro Khanna (D-CA) introduced a bill that would prevent U.S. officials and their families from owning or trading cryptocurrencies while in office. The bill specifically mentions Trump’s pardon of CZ and the $2 billion UAE investment in WLFI, calling it “corruption in plain sight.”

Why it matters:
This legislation could hurt WLFI’s reputation and slow institutional interest. While the bill’s chances are slim in the Republican-controlled Senate, it keeps WLFI in the spotlight for negative political reasons. (Bitcoin Magazine)

3. Trump Media Launches Prediction Markets (October 28, 2025)

What happened:
Trump Media & Technology Group (TMTG) is launching prediction markets through Crypto.com’s regulated platform. Users will earn Cronos (CRO) tokens by participating, with WLFI playing a growing role in this ecosystem.

Why it matters:
This move could increase demand for WLFI’s stablecoin USD1 and expand its use among Crypto.com’s 100 million users, which is a positive sign for adoption and utility. (crypto.news)

Conclusion

World Liberty Financial (WLFI) is at the center of political controversy and market opportunity. While new exchange listings and ecosystem growth offer promise, regulatory challenges and political scrutiny could impact its $3.3 billion market value. The key question remains: will Trump’s crypto ventures overcome legislative hurdles, or will ongoing investigations weigh on WLFI’s future?

What is expected in the development of WLFI?

World Liberty Financial’s (WLFI) roadmap focuses on growing its real-world use and adoption through these main projects:

1. Debit Card Pilot (Q4 2025/Q1 2026) – Let users spend crypto with physical and virtual debit cards.
2. Aptos Blockchain Expansion (2026) – Bring the USD1 stablecoin to the Aptos blockchain for more decentralized finance (DeFi) options.
3. Tokenized Real-World Assets (RWAs) Launch (2026) – Enable trading of commodities like oil and timber directly on the blockchain.
4. Super App Development (No Date) – Create a single app for payments, staking, and governance to simplify user experience.

Deep Dive

1. Debit Card Pilot (Q4 2025/Q1 2026)

Overview: WLFI plans to roll out a debit card pilot program that allows users to spend their crypto assets, including USD1 and WLFI tokens, in everyday transactions. This move aims to connect cryptocurrency with traditional finance, making crypto more practical for daily use. Co-founder Zach Witkoff announced this plan at Token 2049, targeting late 2025 or early 2026 (Bitcoinist).
What this means: This is a positive step toward wider adoption since real-world usability often drives demand. However, WLFI faces challenges like regulatory approval and competition from existing crypto debit card providers.

2. Aptos Blockchain Expansion (2026)

Overview: WLFI will expand its USD1 stablecoin to the Aptos blockchain. This expansion aims to improve liquidity across different blockchains and increase integration with DeFi platforms. USD1 is already available on Ethereum, Solana, and BNB Chain (Bitcoinist).
What this means: This could help USD1 reach more users and markets, which is generally positive. However, since Aptos has a smaller user base compared to other blockchains, the immediate impact might be limited.

3. Tokenized RWAs Launch (2026)

Overview: WLFI plans to tokenize real-world commodities such as oil, gas, and timber, allowing these assets to be traded on the blockchain. This initiative is supported by partnerships with Abu Dhabi’s MGX and interest from institutional investors (Bitcoinist).
What this means: This could attract more institutional investors and add value to WLFI’s ecosystem. However, success depends on meeting regulatory requirements and ensuring enough liquidity, which are common challenges in tokenizing real-world assets.

4. Super App Development (No Date)

Overview: WLFI is working on a “super app” that will combine its services—payments, staking, and governance—into one easy-to-use platform. The goal is to make decentralized finance more accessible to everyday users. The project is still in early development, and no timeline has been announced (DWF Ventures).
What this means: If successful, the app could set WLFI apart in the crowded DeFi space. However, without clear details or a release date, it’s too early to tell how much impact it will have.

Conclusion

World Liberty Financial’s roadmap emphasizes practical uses like debit cards and tokenized real-world assets, along with expanding its ecosystem through Aptos and a super app. These efforts could strengthen WLFI’s role in DeFi and stablecoin markets. Still, there are significant risks, especially around regulatory approval and technical execution. With 80% of presale tokens still locked and awaiting community votes (Backpack Exchange), how governance decisions unfold will be key to WLFI’s liquidity and long-term success.

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What updates are there in the WLFI code base?

World Liberty Financial (WLFI) has made important updates to improve how its system works across different blockchains and to enhance security.

1. Cross-Chain Integration (Sept 1, 2025) – Enabled safe transfers of tokens between Ethereum, Solana, and BNB Chain using Chainlink’s technology.
2. Address Blacklisting (Sept 5–7, 2025) – Added protections to block suspicious wallets to prevent token manipulation.
3. Buyback-and-Burn Automation (Sept 27, 2025) – Automated the process of using fees to buy back and permanently remove WLFI tokens from circulation.

Detailed Overview

1. Cross-Chain Integration (Sept 1, 2025)

What Happened: WLFI integrated Chainlink’s Cross-Chain Interoperability Protocol (CCIP), allowing users to move WLFI and USD1 tokens securely between Ethereum, Solana, and BNB Chain. This update also introduced the Cross-Chain Token (CCT) standard to support this functionality.

Chainlink’s decentralized oracle network verifies these transfers, which helps reduce risks of hacks or exploits common in token bridges.

Why It Matters: This update makes WLFI more accessible across multiple blockchain platforms, potentially attracting users from Solana and BNB Chain communities. Greater accessibility can increase demand for WLFI, especially for governance voting and decentralized finance (DeFi) activities. (Source)

2. Address Blacklisting (Sept 5–7, 2025)

What Happened: WLFI’s code was updated to include a real-time blacklisting feature that can freeze wallets suspected of manipulating the market.

This came after unusual token movements were detected, including allegations of large-scale selling by a notable figure. As a result, 272 addresses holding about 540 million unlocked WLFI tokens were locked. The system now monitors and flags large transfers between exchanges.

Why It Matters: This change protects regular investors from coordinated sell-offs that could harm the market. However, some critics say that blacklisting goes against the decentralized nature of blockchain technology. The long-term success of WLFI will depend on finding the right balance between security and decentralization. (Source)

3. Buyback-and-Burn Automation (Sept 27, 2025)

What Happened: WLFI’s governance approved a change to automatically use 100% of protocol fees to buy back WLFI tokens from the market and burn (destroy) them. In the first run, 7.89 million WLFI tokens worth about $1.43 million were burned.

Fees collected from USD1 transactions and liquidity pools are now directed to repurchase WLFI tokens, which are then permanently removed from circulation. This burning process will happen every month going forward.

Why It Matters: Reducing the number of WLFI tokens available can help support the token’s price by offsetting selling pressure. However, the effectiveness of this mechanism depends on how widely USD1 is used, as fee generation is tied to USD1 transactions. (Source)

Conclusion

WLFI’s recent updates focus on improving cross-chain compatibility, protecting the market, and introducing deflationary measures to support token value. These technical improvements help WLFI compete in the busy stablecoin and DeFi space. However, features like blacklisting introduce centralized control, which may not sit well with all users who prefer fully decentralized systems.

The key question remains: Can WLFI’s blend of traditional finance (TradFi) and decentralized finance (DeFi) attract enough genuine user demand to keep its buyback-and-burn strategy effective?

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