A proposal by World Liberty Financial to unlock 62 billion WLFI tokens has gained significant traction, with a substantial majority of voters supporting the move. The plan involves a 10% token burn by founders, team members, and partners, amounting to approximately 4.5 billion WLFI, which would initiate a five-year unlocking schedule for the remaining 40.7 billion tokens after a two-year lockup period.
This development marks a significant shift in the valuation structure of WLFI, replacing indefinite lockups with a predictable supply schedule and providing a clearer exit strategy for token holders. The near-unanimous support, with 99.5% of voters in favor, underscores the concentrated nature of voting power among a small group of major holders. Notably, the largest wallet holds nearly 13% of the voting power, while the top four wallets collectively control around 40% of the total voting power, enabling them to substantially influence the outcome.
Additionally, World Liberty Financial is currently facing a lawsuit from Tron founder Justin Sun, who alleges that his tokens were frozen and his governance rights were revoked, claims that the company has denied.