@DefiSquared

New - World Liberty Fi is finally unlocking the remaining 27 billion investor WLFI tokens after early investors began filing lawsuits this week. As a reminder, their white paper states that 100% of all protocol profits belong to the Trump and Witkoff family, so the fundamental value of this token is likely close to zero. This detail was backed up by World Liberty Fi’s announcement of staking details last month, which confirmed that stakers will not receive any share of protocol revenue, only a 2% yield in additional WLFI emissions at the protocol's discretion.

Haven’t seen anyone else talk about this yet, so I wanted to bring up an alarming governance vote by World Liberty Fi this month that appears to be the start of a slow extraction of value from WLFI holders by the team: What you see above appears to be a rigged vote, where the majority of top voters are indicated to be team wallets or strategic partner wallets by Bubble Maps. This is in contrast to the real voters lower in the screenshot, who have all been locked from accessing their WLFI tokens since TGE, and unable to vote on an unlock until the team allows it. Instead, the team created the USD1 growth proposal shown here, which at first glance reads as fairly mundane. But it raises the question: why would the team go out of their way to force this vote through, instead of voting on the WLFI token unlock that the majority of holders are asking for? The real motivation becomes clear when you recall the fine print that WLFI holders are not entitled to ANY protocol revenue at all. According to the WLFI Gold Paper on the World Liberty Fi official website, 75% of protocol revenue goes to the Trump family, and 25% goes to the Witkoff family: It’s actually as crazy as it sounds: the team is forcing a vote to sell WLFI tokens at the expense of locked holders, in order to fund protocol revenue that goes only to themselves. This vote was actually failing by the time it reached quorum with a majority of votes rejecting the proposal, until the team / partners forced the vote through. For context, the WLFI team is allocated 33.5% of all tokens and strategic partners another 5.85%, while the public sale was allocated only 20%. Following the vote, we can see fresh transfers such as this one of 500 million WLFI tokens to Jump trading, while investor WLFI allocations remain forcibly locked: Now that WLFI emissions are increasing, it's difficult to see the intrinsic value behind a 17 billion dollar token that has no real governance power, no revenue share, and new foundation sell pressure occurring for their own benefit. I have held short positions on WLFI on and off since pre-market prices above 0.34, and believe it will continue to drop over a longer timeframe due to dilution, intentional extraction, and other factors related to Trump's final term in office.

It was indeed the scariest chart in crypto. https://t.co/Y17tXJ0R4g

This is one of the scariest charts in crypto and you can't convince me otherwise. https://t.co/aYN3q7SnjK

Orderly is still so cheap that its staking APR from just a portion of its fee revenue is consistently over 40% without using any token emissions or points to incentivize trading volume. People have become so accustomed to assuming that any high staking yields are padded by token emissions or points farming that they often just glance over it- but in this case it's literally doing $17 Bil a month in volume organically and un-incentivized. The project also just passed a governance vote to begin using up to 60% of fee revenue to perform open market buybacks, which starts this month. Honestly there's not even much else to add on this point because it's just so clear cut; the market hasn't properly priced in growth potential here at all despite the number of Orderly DEXes starting to increase exponentially and the revenue APR already beating every other top competing perp DEX protocol relative to valuation.