The Trump family’s DeFi protocol was forced to sell $5 million of BTC today to cover an Aave loan.
World Liberty Financial (WLFI), the decentralized finance (DeFi) protocol affiliated with President Trump’s sons, was forced to sell some Bitcoin at roughly $67,000 today to avoid liquidation on Aave.
According to Arkham Intelligence, the WLFI wallet was forced to liquidate more than 170 BTC, worth roughly $11 million, to repay its loans on Aave.
Meanwhile, the WLFI token is down 14% today, slightly underperforming BTC and ETH, which are both down 13%.
WLFI Token – CoinGeckoWLFI has been in a consistent downtrend since its token launch in September. The token started trading on Sept. 1 at $0.23, or a $6.6 billion market capitalization, and now trades 65% lower at $0.115.
In addition to the protocol’s financial woes, Trump’s political opponents continue to call for probes and investigations into the DeFi protocol.
Today, U.S. Representative Ro Khanna announced that he has launched an investigation into a $500 million investment in WLFI from the United Arab Emirates. Back in November, Senators Elizabeth Warren and Jack Reed claimed that the protocol is tied to malicious actors from North Korea and Russia; however, it remains unclear if there has been any progress on this probe.
Warren, in particular, is no fan of cryptocurrency, broadly referring to DeFi users as “scammers” and labeling the GENIUS bill as a “grift.”
Source: https://thedefiant.io/news/defi/world-liberty-financial-offloads-bitcoin-to-pay-debt
