TLDR
- WLFI adopts full treasury fee buybacks and burns to boost long-term value.
- WLFI tokenholders vote 99.8% in favor of permanent buyback-burn strategy.
- WLFI commits 100% of liquidity fees to buyback and burn, cutting supply.
- WLFI seeks confidence with continuous buybacks after early price crash.
- WLFI shifts to fee-powered buybacks, aiming to reduce supply and recover.
World Liberty Financial has approved a new buyback strategy for its native token, WLFI, through a governance vote. The platform will now use 100% of its treasury’s liquidity fees for token buybacks, followed by burning those tokens. This decision aims to reduce circulating supply and increase token value, especially for long-term WLFI holders.
WLFI Community Approves Buyback Plan to Cut Supply
WLFI tokenholders voted with 99.8% in favor of the new buyback plan, while only 0.06% voted against it. The approved strategy enables the project to repurchase tokens from open markets using liquidity fees. The tokens will then be sent to a burn address for permanent removal.
The decision follows heavy losses after the WLFI token launched on September 1. The token’s price dropped by 40% within three days, resulting in significant losses for large holders. With the buyback plan in place, the platform now seeks to restore confidence and demand.
This new approach builds on the one-time burn of 47 million tokens on September 3. That early attempt failed to stabilize the token price. The updated plan adds a continuous and structured buyback mechanism to support long-term growth.
Treasury Liquidity Fees to Power WLFI Buybacks
The platform will now allocate all treasury-generated liquidity fees for WLFI buybacks. These funds will come from trading activity across Ethereum, BNB Chain, and Solana. After purchasing WLFI on the open market, the platform will burn the tokens permanently.
This mechanism targets supply-side pressure while increasing the share of committed WLFI holders. By removing tokens from those exiting the market, buybacks favor those holding for long-term gains. The platform has yet to disclose projected fee volumes.
Without estimates on treasury income, market watchers cannot evaluate the real impact of the buybacks. This lack of clarity adds uncertainty to future WLFI price action. The buyback announcement triggered a brief uptick in price.