$483M WLFI Unlock on the Horizon: Can Token Burns Prevent a Bigger Sell-Off?

  • World Liberty Financial (WLFI) faces heightened volatility ahead of a $483M token unlock, with traders concerned that fresh supply could trigger additional sell-offs.
  •  While the project has launched a buyback-and-burn program to manage supply, its effectiveness may be limited as WLFI trades 44% below its all-time high.

World Liberty Financial (WLFI), the Trump-connected cryptocurrency, is back in the spotlight as it braces for a major token unlock worth nearly $483 million. With volatility already shaking the token’s early trading sessions, investors are closely watching whether ongoing token burn programs will be enough to stabilize the market and prevent another wave of sell-offs.

WLFI Price Action and Market Snapshot

As of September 4, 2025, WLFI trades at $0.1835, down 14.2% in the past 24 hours. During the same period, it hit a high of $0.2183 and a low of $0.164, highlighting its ongoing turbulence. The project’s market cap currently sits at $5.02 billion, supported by a circulating supply of more than 27.3 billion tokens.

Despite the price drop, trading activity has surged. WLFI’s 24-hour trading volume surpassed $1.48 billion, marking a 97% increase in global activity. Major exchanges like Bybit, OKX, Upbit, and BingX report heavy participation, with South Korea emerging as a key hotspot. The project also attracted retail traders through a BingX rewards campaign, though short-term speculative activity may be contributing to its whipsaw price action.

WLFI’s price remains 44% below its all-time high of $0.3313, recorded shortly after launch. However, it is still trading around 13% above its lowest recorded levels, showing some resilience even amid mounting sell pressure.

Token Burns and Unlock Risks

To address concerns over supply inflation, the project has rolled out a buyback-and-burn program. Around 47 million WLFI tokens have been permanently removed from circulation through a multi-signature burn process, roughly 0.2% of the circulating supply. While the scale is relatively small, the initiative signals ongoing efforts to manage supply and reassure investors.

The upcoming $483 million unlock, however, presents a far greater challenge. The release is tied to allocations for early investors and could inject a significant amount of new supply into the market. Traders worry that this influx could amplify downward pressure, especially if confidence in WLFI’s fundamentals weakens further.

Meanwhile, derivatives markets have exploded in activity. Futures open interest surged more than 50% in the past week, while daily derivatives volume spiked by nearly 400% at one point. Heavy leverage has already punished large traders, with whale accounts suffering seven-figure liquidations during WLFI’s sharp price reversals.

Outlook: Stability or More Volatility Ahead?

WLFI’s governance model caps voting power at 5% per wallet, aiming to limit concentrated influence. Roughly 15–25% of total tokens remain locked, including those linked to the Trump family, which may help temper fears of immediate market flooding.

Still, confidence remains fragile. Reports of wallet blacklisting tied to Justin Sun and allegations of token manipulation have cast shadows over WLFI’s credibility, even as its liquidity and exchange distribution continue to grow.

Looking ahead, analysts project WLFI could stabilize near $0.201 in the coming week, provided exchange activity remains strong and no further scandals emerge. If selling pressure accelerates during or after the unlock, however, WLFI may test support at $0.165.

In short, WLFI finds itself at a crossroads: the $483M unlock could either be a short-term hurdle absorbed by trading demand, or the spark that drives another major sell-off unless token burns and supply management measures scale up to meet the challenge.

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