Trump-related crypto project WLFI white paper shows 70% of tokens will be reserved for insiders

BlockBeats news, on September 5, according to the draft of the project white paper obtained by CoinDesk, WLFI's "governance" crypto token WLFI will be held by 70% of "founders, teams and service providers", which is much higher than the internal allocation ratio of other well-known crypto projects. The remaining 30% will be distributed through public sales, and part of the funds will be used to support project operations.

Industry insiders believe that this distribution ratio is abnormally high and may raise questions. The WLF team said that the token economics plan has not yet been finalized. The project claims to "return financial power to the people", but the token distribution shows that most of the power is concentrated in the hands of a few insiders. In addition, the WLFI token will be non-transferable, probably to avoid violating securities laws.

It is worth noting that some Trump supporters have warned that the project may affect its election prospects and become a target of the SEC. Although members of the Trump family play multiple roles in the project, the white paper attempts to decouple the project from politics.