A proposal by World Liberty Financial to unlock 62 billion WLFI tokens has received overwhelming support, with early voting results exceeding the required quorum and showing nearly unanimous backing. The proposed plan involves a token burn of 10% of holdings by founders, team members, and partners, equivalent to approximately 4.5 billion WLFI, which would initiate the unlocking of the remaining 40.7 billion tokens over a five-year period following a two-year lockup. Due to the cliff period, no tokens will be released into the market for at least two years.
This change marks a significant shift in how WLFI is valued, replacing indefinite lockups with a predictable supply schedule and providing a clearer exit strategy for holders who previously lacked one. With 99.5% of voters in favor, the proposal has gained widespread approval. The voting results also shed light on the governance structure of WLFI.
Similar to previous proposals, the level of participation suggests that a small group of major holders can drive significant tokenomic changes with minimal opposition. Voting power is heavily concentrated among a few large holders, with the largest wallet accounting for nearly 13% of the votes cast and the top four wallets combined controlling around 40% of the total voting power, giving them substantial influence over the outcome. Additionally, WLFI is 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.