TLDR:

  • Donald Trump and his family are involved in a new cryptocurrency project called World Liberty Financial

  • The project appears to be based on code from Dough Finance, a DeFi protocol that was hacked for $2 million in July

  • Four team members previously worked on Dough Finance, including one who founded a pick-up artist company

  • World Liberty Financial will include a non-transferable governance token called WLFI

  • The project aims to create a decentralized borrowing and lending platform on Ethereum

World Liberty Financial, a new cryptocurrency project backed by former President Donald Trump and his family, is set to launch a decentralized finance (DeFi) platform for borrowing and lending.

The project, which was initially teased under the name “The DeFiant Ones,” has raised eyebrows due to its connections to a previously hacked DeFi protocol and team members with diverse backgrounds.

.@worldlibertyfi pic.twitter.com/mwhVIzPJyq

— Donald J. Trump (@realDonaldTrump) August 29, 2024

According to a white paper obtained by CoinDesk, World Liberty Financial will build a “credit account system” on the Ethereum blockchain, utilizing the Aave DeFi platform. The project aims to create an accessible way for users to engage with blockchain technology through decentralized borrowing and lending services.

Donald Trump is listed as the project’s “Chief Crypto Advocate,” while his sons Eric and Donald Jr. serve as “Web3 Ambassadors.” Notably, Trump’s youngest son, 18-year-old Barron, is identified as the project’s “DeFi visionary.”

The project plans to issue a non-transferable governance token called WLFI, which will allow token holders to participate in the management of the platform. Users will be able to suggest and vote on adding new DeFi lending markets or integrating additional blockchains.

However, the project’s development has raised some concerns. A review of a since-deleted codebase on GitHub revealed that World Liberty Financial appeared to have lifted code directly from Dough Finance, a DeFi protocol that lost $2 million in a hack this July.

While it’s unclear if the current iteration of the project still contains this code, the connection has drawn attention.

Four team members listed in World Liberty Financial’s white paper previously worked on Dough Finance. These include Zachary Folkman (head of operations), Chase Herro (data and strategies lead), Octavian Lojnita (smart contracts lead), and a pseudonymous developer known as Boga (front-end developer).

Folkman and Herro have a history of collaboration on various projects, including Subify, a censorship-free competitor to Patreon and OnlyFans. Folkman also previously registered a company called Date Hotter Girls LLC and posted seminars on YouTube about picking up women.

The project’s leadership team extends beyond the Trump family and former Dough Finance members. It includes long-time Trump friend and property developer Steve Witkoff, his son Zach Witkoff, and Alex Golubitsky as legal counsel. Golubitsky’s firm, MetaleX Pro, has disclosed that it will receive 1.3% of the upcoming WLFI tokens.

World Liberty Financial represents a significant shift in Trump’s stance on cryptocurrencies. During his presidency, Trump expressed skepticism towards digital assets, but he now promises to make the United States the “crypto capital of the planet” as part of his campaign platform.

The cryptocurrency industry has become increasingly involved in political funding, with companies like Coinbase and Ripple among the top corporate spenders in the 2024 election cycle. This shift in the political landscape may have influenced Trump’s newfound embrace of blockchain technology.

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