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World Liberty Financial purchases 5 million dollars in ETH

World Liberty Financial purchases 5 million dollars in ETH

GrafaGrafa2024/12/12 09:10
By:Isaac Francis

World Liberty Financial (CRYPTO:WLFI), the cryptocurrency project backed by President-elect Donald Trump, has recently acquired 5 million dollars worth of Ethereum (CRYPTO:ETH), according to on-chain data.

This purchase increases the project's total ETH holdings to over 50 million dollars, primarily accumulated in recent weeks.

A wallet associated with World Liberty made three transactions to receive 1,285 ETH tokens from CoW Swap, a decentralized exchange.

Currently, ETH is trading around 3,800 dollars.

The acquisition appears to be funded by profits from the ongoing WLFI token sale and large stablecoin reserves.

World Liberty's strategy of swapping stablecoins for ETH indicates a shift towards deeper engagement in the cryptocurrency economy and suggests that the team views ETH as a preferable reserve asset compared to the U.S. dollar.

“Any stables they get they are flipping for ETH,” noted Ethereum investor Eric Conner, who highlighted these transactions.

The terms of World Liberty's operation state that the limited liability company established by the Trump family will receive 75% of the proceeds from WLFI token sales and has discretion over treasury management.

According to Arkham Research, the World Liberty wallet holds nearly 73 million dollars in cryptocurrencies, including over 50 million dollars in ETH, 10 million dollars in Coinbase’s wrapped bitcoin token, and various stablecoins.

Since its inception, World Liberty has executed 146 swaps using CoW Swap, which aims to find optimal execution prices for users.

The recent purchase represents one of the largest transactions for World Liberty in recent weeks, following previous acquisitions of approximately 2,000 and 3,000 ETH within the last two weeks.

World Liberty began its token sale on October 15 after Trump’s son Eric announced the project in August. 

So far, it has sold over 55 million dollars worth of WLFI tokens but falls short of its initial goal of raising 300 million dollars.

The project accepts ETH, USDC (CRYPTO:USDC), and USDT (CRYPTO:USDT) in exchange for WLFI tokens and is limited to accredited investors within the U.S. 

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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