World Liberty Financial is on the cusp of unlocking 62 billion WLFI tokens, with the proposal garnering widespread support and surpassing the required quorum. The proposed plan involves founders, team members, and partners relinquishing 10% of their holdings, approximately 4.5 billion WLFI, to initiate the unlocking of the remaining 40.7 billion tokens over a five-year period, following a two-year waiting period. The tokens will not be available on the market for at least two years due to the cliff 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 holders who previously lacked one. The proposal has garnered near-unanimous support, with 99.5% of voters in favor.
The voting results also shed light on the governance structure of WLFI. The participation levels are consistent with previous proposals, suggesting that a small group of major holders can drive significant tokenomic changes with minimal opposition.
Voting power is concentrated among a small group of large holders, with the largest wallet accounting for nearly 13% of the votes cast and the top four wallets collectively controlling around 40% of the total voting power, thereby exerting substantial influence over the outcome. Additionally, WLFI is facing a lawsuit from Tron founder Justin Sun, who claims that the project froze his tokens and revoked his governance rights, allegations that the company has denied.