World Liberty Financial announces a buyback program for its WLFI governance and utility token after it fell sharply amid concerns about oversight of crypto activities linked to Donald Trump.
The program will be funded by an initial allocation, which may include fees earned from the USD1 stablecoin reserves. World Liberty Financial says the goal is to encourage governance participation and concentrate voting power among long-term holders.
KEY CONTENT
WLFI fell 16.67% from November 3 to November 5 before partially recovering.
Senator Richard Blumenthal has asked World Liberty Financial and related parties to provide records by January 4, 2027.
Daily chart indicators reflect selling pressure and downward momentum for WLFI.
How is the WLFI buyback program funded?
The WLFI buyback program uses an initial allocation and may include fees collected from USD1 reserves. World Liberty Financial linked the decision to the growth of its ecosystem and USD1 stablecoin.
World Liberty Financial said the program aims to encourage holders to participate in governance while concentrating voting power among those committed to holding long term. The size of the initial allocation and the buyback schedule are currently unclear.
WLFI falls after election results and request for records
WLFI fell from $0.0522 to $0.0435 between November 3 and November 5, after Democrats took control of both the U.S. Senate and House of Representatives. The token later recovered to $0.046.
Date Price or movement November 3 WLFI stood at $0.0522. November 5 WLFI fell to $0.0435, down 16.67%, reaching its lowest level ever. WLFI then recovered 5.52% to $0.046.
Selling pressure emerged alongside concerns about increased legislative scrutiny and investigations into conflicts of interest involving crypto activities linked to Donald Trump, including World Liberty Financial.
Senator Richard Blumenthal, who is set to become chair of the U.S. Senate Permanent Subcommittee on Investigations (PSI), sent letters to Binance, Tether, World Liberty Financial, and Fight Fight Fight LLC, the company associated with the TRUMP memecoin.
The parties were asked to provide records and information by January 4, 2027. According to a notice on the senator’s website, the subcommittee will consider other measures if the request is not met. With a majority in both chambers, Democrats have the power to issue subpoenas for information.
WLFI technical indicators
The WLFI daily chart has a bearish structure, while the OBV indicator has been steadily declining and the RSI reflects oversold conditions alongside strong downward momentum.
Source: WLFI/USDT on TradingView
The price imbalance zone at $0.049 has been tested. If selling pressure and bearish sentiment continue, WLFI could fall toward the recent low near $0.043 and continue making new lows.
Summary
World Liberty Financial announced a WLFI buyback while the token was under downward pressure and the company’s activities were within the scope of the PSI’s request for records. What happens next includes the implementation of the buyback program and a response to the request by the January 4, 2027 deadline.
Source: https://tintucbitcoin.com/wlfi-giam-16-trong-2-ngay-thong-bao-mua-lai-co-cuu-gia/
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