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Friday, April 3, 2026

Trump and WLFI Coin: Report Accuses President of Exploiting Office for Profit

World Liberty Financial’s (WLFI) token structure is designed to direct 75% of net proceeds to DT Marks DEFI LLC, a Delaware-based entity directly linked to Donald Trump and his family, completely insulating them from any legal or financial liability related to the project’s operations.

House Democrats released a report on November 24 describing the WLFI project as the linchpin in what they described as an abuse of presidential power on an unprecedented scale. Rep. Jamie Raskin said Trump had “transformed the Oval Office into the most corrupt crypto startup in the world.”

The conflict of interest mechanism seems simple and clear; Donald Trump simultaneously controls crypto policy from the White House and has a majority financial stake in a decentralized finance (DeFi) project whose commercial value depends on the regulatory environment he himself shapes. This is not just a public perception problem, but rather a structural problem par excellence.

Most important key points:

  • Income structure: 75% of WLFI’s net profits go to DT Marks DEFI LLC, linked to the Trump family, with no personal liability.
  • Size of winnings: The Trump family has generated at least $890 million in revenue and owns $3.8 billion in WLFI tokens, with no evidence of personal investment.
  • Foreign funds: Justin Sun invested $75 million in WLFI tokens before the SEC fraud case against him was dropped; The UAE-based Aqua 1 Foundation also transferred $100 million in stablecoins of unknown origin.
  • Currency performance: WLFI tokens are down 50% from their highs; While Trump and Melania’s coins collapsed by 91% and 99% respectively.
  • Banking expansion: On January 9, 2026, WLFI applied for a national trust bank license under the name World Liberty Trust Company.
  • Political pressures: Democrats’ investigations into “Crypto Corruption Week” are intensifying, with accusations including obstruction of justice and foreign influence.

What does WLFI’s revenue structure actually mean? Why are ethics experts concerned?

It is the mechanics of World Liberty Financial’s compensation structure that raise ethical concerns, not the policies surrounding it. According to the project’s “gold leaf”, DT Marks DEFI LLC receives 75% of net revenues, while the legal cover of this entity protects the Trump family from any operational liability. This distinction creates a one-way financial relationship: the profits go to the Trump family, while the risks remain away from them.

Citizens for Responsibility and Ethics in Washington (CREW) and other watchdog organizations have noted that this arrangement is unprecedented in the relationship between a working boss and a working business. The Trump family extracted at least $890 million from WLFI’s revenue, while owning tokens with an estimated current value of $3.8 billion, without any documented personal investment during its creation. This is not a risk-based founder’s stake, but rather an income claim supported by his name and political status.

The size of foreign investments greatly complicates the structural problem. Justin Sun, charged by the SEC with fraud and market manipulation, invested $75 million in WLFI tokens, but his multibillion-dollar case was dropped.

UAE-based Aqua 1, which analysts associate with entities linked to Chinese state-owned CNPC, also transferred $100 million in stablecoins to the project during the summer of 2025. Media reports said the origins and prospects of this transfer remained unclear. A November 17, 2025 “60 Minutes” report also linked a $2 billion deal between Binance and MGX, settled in the $1 stablecoin WLFI, to the presidential pardon of Binance founder Changpeng Zhao.

Crypto industry insiders have described the WLFI project as a mechanism to buy global influence under the guise of a decentralized financial project. Some institutional actors, who were offered investment deals, refused to participate after concluding that the deal contravened ethical boundaries. The absence of large institutions in WLFI’s order books and the control of purchases by small investors suggests that smart capital has arrived at the same conclusion.

Can the President Benefit from Crypto Policies? Conflicts that haunt WLFI

The Trump administration has moved aggressively to reform pro-crypto policies since January 2025, and every legislative victory that benefits the entire industry directly benefits World Liberty Financial. The GENIUS Act, which Trump supported to create a regulatory framework for stablecoins, provides legitimate infrastructure for the project’s USD1 token when it is needed.

The FIT21 regulatory framework, which restructures the SEC and CFTC’s jurisdiction over crypto assets, would also significantly ease compliance burdens on DeFi platforms like WLFI.

In the eyes of critics, the SEC’s decline in enforcement intensity under the Trump administration was not a mere coincidence, especially given the Sun case. The president, whose family owns $3.8 billion in tokens tied to a decentralized finance project, benefits from tangible financial incentives to reduce regulatory restrictions on the sector.

The White House says Trump’s assets are held in a trust managed by his children and there is no conflict of interest. But this framing seems deliberate; Trust managed by the president’s sons in a project in which those same sons participated is not considered a true separation of interests according to traditional moral standards.

As the legal frameworks of DeFi entities evolve, it becomes difficult to dismiss the structural ambiguity of WLFI as a simple technical problem. WLFI’s January 2026 National Credit Bank License application, if approved, would expand the project’s reach to include federally regulated banking infrastructure. Political and financial interests here are not mere abstract possibilities, but rather multibillion-dollar sums written into legislation.

The article Trump and WLFI Coin: Report Accuses President of Exploiting His Position to Make Profits appeared first on Cryptonews Arabic.

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