A proposal by World Liberty Financial to release 62 billion WLFI tokens has garnered overwhelming support, with voting results indicating a near-unanimous decision. The proposed plan involves a 10% token burn of approximately 4.5 billion WLFI by founders, team members, and partners, which will initiate the release of the remaining 40.7 billion tokens over a five-year period following a two-year holding period. Due to the cliff period, no tokens will enter the market for at least two years, introducing a predictable supply schedule and a clearer exit strategy for token holders.
With 99.5% of voters in favor, the move demonstrates broad support. However, the voting process highlights the concentrated governance structure of WLFI, where a small group of large holders wield significant influence over tokenomic decisions.
Notably, the largest wallet accounts for nearly 13% of the votes cast, while the top four wallets collectively control around 40% of the total voting power, raising concerns over the distribution of voting power. Meanwhile, World Liberty Financial is facing a lawsuit from Tron founder Justin Sun, who claims that his tokens were frozen and his governance rights were revoked, allegations that the company has denied.