Trump Family Coin Plummets 17% in a Day… Is the Giant Empire Collapsing?

▲ Justin Sun, Donald Trump, World Liberty Financial (WLFI)/AI generated image ©

A virtual asset project strongly pushed by the family of former U.S. President Donald Trump is facing its biggest crisis, plummeting nearly 20% in a single day amid various controversies and fears of a massive supply dump.

According to crypto media Watcher.Guru on April 30 (local time), the price of World Liberty Financial (WLFI) has continued its endless fall, dropping 17.7% daily, 21.5% weekly, 25% over 14 days, and 38.6% month-over-month, based on data from virtual asset market tracker CoinGecko.

The main reasons for this plunge are a series of serious ethical and legal controversies that have recently emerged. Firstly, it was revealed that the project, supported by the U.S. presidential family, was involved with AB DAO (or AB Network), a Southeast Asian blockchain project linked to individuals on the U.S. government's sanctions list. This revelation has led to strong market criticism and demands for thorough verification.

Adding to the woes, Tron (TRX) founder Justin Sun filed a lawsuit. Justin Sun claimed that World Liberty Financial threatened to freeze his coin holdings and burn them. While the company dismissed these claims as baseless and false, it has been insufficient to shed the negative labels surrounding the project.

Political pressure is also intensifying. Several U.S. policymakers are urging that ethical provisions must be included in the upcoming CLARITY Act, a bill concerning the cryptocurrency market structure. Even Republican Senator Thom Tillis declared that he would not support the bill without ethical regulations, directly targeting the transparency of the Trump family's virtual asset empire.

Amid these widespread negative factors, the timing of a large-scale token unlock schedule also coincided, stimulating investors' sell-off sentiment. Currently, a proposal to unlock 62 billion World Liberty Financial coins has received overwhelming approval of 99.5%, making its implementation highly likely soon. The market diagnoses that the exit of investors rushing to realize profits before the value is diluted by the release of a massive supply of tokens contributed to this price crash.

*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*