The World Liberty Financial Initiative (WLFI), a DeFi project backed by US President-elect Donald Trump, made headlines with a recent $12 million crypto acquisition.
On December 12, blockchain analytics firm Lookonchain revealed that WLFI acquired 2,631 ETH for $10 million at $3,801 per token. Additionally, he purchased 41,335 LINK and 3,357 AAVE, investing $1 million each.
According to data from Arkham Intelligence, these purchases brought the project’s crypto holdings to a value above $74.7 million. WLFI now holds approximately 14,576 ETH (worth over $57 million), 102.9 cbBTC (worth $10.3 million), and other assets like USDC alongside its newly acquired LINK and AAVE.
The substantial purchase of crypto by WLFI appears to have influenced market conditions. According to CryptoSlate According to the data, LINK and AAVE saw price increases of more than 25% in 24 hours.
WLFI aims to position itself as a leading DeFi platform offering lending, borrowing and investment services in digital assets. It also reportedly intends to introduce a proprietary stablecoin and tools to access third-party DeFi applications.
Market implications
The crypto community is rife with speculation about WLFI’s recent initiatives. Some believe the asset choices align with an expected pro-crypto agenda under the Trump administration.
A pseudonymous cryptocurrency trader, Flow Horse, suggested that WLFI could have strategically invested in tokens that are expected to thrive under favorable US regulations.
Meanwhile, other industry analysts also point to WLFI’s focus on DeFi, seeing LINK and AAVE purchases as a signal of confidence in decentralized financial technologies over speculative assets such as memecoins.
Chainlink Community Liaison Zach Rynes pointed out that adopt Chainlink price feeds for WLFI’s Aave V3 integration could be a driving factor in the acquisition. He also noted that these purchases could reflect confidence in a more favorable regulatory environment under Trump’s leadership.
Trump’s evolving stance on crypto further fuels this narrative. Over the past year, the president-elect has strongly defended the industry during his campaign and made a series of pro-crypto appointments, including David Sachs as White House crypto czar .
Observers said these efforts demonstrate a commitment to delivering on its promises of regulatory clarity and support for the industry.