World Liberty Financial is poised to unlock 62 billion WLFI tokens after a proposal garnered overwhelming support, with voting results showing nearly unanimous approval. The plan involves a 10% burn of holdings by founders, team members, and partners, equivalent to approximately 4.5 billion WLFI tokens, to initiate the unlocking of the remaining 40.7 billion tokens over a five-year period following a two-year cliff.
This move introduces a significant structural change in WLFI's valuation, replacing indefinite lockups with a predictable supply schedule and providing a clearer exit strategy for holders. The vote highlights the concentrated nature of WLFI's governance, with a small group of large holders wielding substantial influence over tokenomic decisions.
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 significantly impact the outcome. Meanwhile, World Liberty Financial faces a lawsuit from Tron founder Justin Sun, who claims his tokens were frozen and his governance rights were revoked, allegations the company has denied.