Since Trump’s election victory and Bitcoin’s surge past the $100,000 mark, market attention has increasingly focused on World Liberty Financial (WLFI), a company with strong ties to his family. Since its launch in September 2023, WLFI has rapidly gained widespread attention due to its unique narrative and large-scale capital operations. Particularly in December, WLFI made significant purchases of cryptocurrency assets worth nearly $45 million, and these on-chain activities have sparked various speculations in the market.
### What tokens might WLFI continue to buy in the future?
It is important to note that on its official website, WLFI legally distances itself from any direct connection with the Trump family. The project claims to be “the only DeFi platform inspired by Trump,” but the roles of advocates and ambassadors cannot be considered real management positions. Moreover, at the bottom of the site, there is a disclaimer in small print:
In summary, the project openly tells everyone: “We have extensive ties with the Trump family, but legally, there is no connection.” This tone seems somewhat irresponsible.
As a result, it’s no surprise that WLFI’s tokens have not garnered much attention. According to the project’s website, the token sales, which have a total supply of 20 billion tokens, have only completed a quarter of their sales target since launch, despite being in such a bull market.
However, this doesn’t prevent the assets acquired by WLFI from becoming, to some extent, a market signal. After all, “willingness to invest in the Trump family” and “What assets has the Trump family invested in? Can I follow their lead?” are two very different matters. In the latter case, Trump’s influence as a crypto advocate is unprecedented.
### Large-scale cryptocurrency acquisitions
Since November 2023, WLFI has made large-scale purchases of various mainstream and emerging crypto assets through a primary wallet address.
The assets purchased include:
– **ETH**: Total of $30 million, acquiring 8,105 ETH, with an average purchase price of $3,701 per ETH.
– **cbBTC**: Total of $10 million, acquiring 102.9 cbBTC, with an average purchase price of $97,181 per cbBTC (later converted to WBTC).
– **LINK**: Total of $2 million, acquiring 78,387 LINK, with an average purchase price of $25.51 per LINK.
– **AAVE**: Total of $1.91 million, acquiring 5,886 AAVE, with an average purchase price of $324.4 per AAVE.
– **ENA**: Total of $750,000, acquiring 741,687 ENA, with an average purchase price of $1.011 per ENA.
– **ONDO**: Total of $250,000, acquiring 134,216 ONDO, with an average purchase price of $1.86 per ONDO.
Subsequently, World Liberty Financial announced a partnership with Ethena Labs, and the two are seeking long-term collaboration, starting with Ethena’s yield-bearing token, sUSDe.
Despite multiple corrections after the Bitcoin price surpassed $100,000 and massive declines caused by hawkish Fed interest rate cut announcements, as of December 19, the six tokens purchased by WLFI still showed gains in their 30-day performance: Bitcoin and Ethereum rose by 10% and 15% respectively, Chainlink increased by 65.1%, Aave surged by 103.9%, Ethena climbed by 89.4%, and Ondo grew by 85.1%. This indicates that WLFI’s purchase targets have indeed become a market trend, allowing them to preserve their 30-day gains even during significant pullbacks.
### What tokens might WLFI buy next?
**Polychain’s Investment Assets**
On the official website, it is noted that Luke Pearson from Polychain has become one of WLFI’s advisors. There is a strong possibility that the tokens purchased by WLFI will come from Polychain’s investment portfolio. According to Rootdata, not every project in Polychain’s portfolio has issued a token, and the DeFi projects that can be considered seasoned are even fewer.
**Top 100 DeFi Assets on Coingecko by Market Cap**
At the same time, all of WLFI’s previous token purchases are listed within the top 100 market cap assets on Coingecko, possibly due to considerations regarding volatility and market pullbacks. Additionally, based on WLFI’s collaboration with Ethena, it seems likely that their token purchases are aimed at fostering future partnerships. The strategy could involve leveraging the popularity and influence of these purchases to establish relationships with larger DeFi projects in the market, thereby enhancing WLFI’s brand value as a DeFi protocol.
So, what tokens might emerge from these considerations?
– **Polychain’s Investment Projects / Assets Listed on CowSwap / Top 100 by Market Cap on Coingecko:**
– **Maker (MKR)**, recently rebranded as SKY.
– **Uniswap (UNI)**
– **DYDX**
Moreover, if we include highly valuable projects not part of Polychain’s portfolio, the following tokens could also be considered:
– **Lido**
– **Pendle**
– **Eigen**
– **Curve**
These projects also have a strong “American presence” and could potentially partner with WLFI. If we slightly extend the market cap ranking, tokens like **1inch** and **Morpho** might also have a smaller chance of being chosen.
Overall, WLFI’s investment strategy appears to be quite strategic, demonstrating strong capital operation capabilities. In the future, WLFI’s purchasing targets will likely continue to focus on high-quality DeFi assets within the top 100 by market cap. Moreover, the current market correction might provide an ideal window for further acquisitions. During Trump’s upcoming term, WLFI’s buying actions could offer important signals for investment decisions.
In January, Trump, the “smart king,” will be inaugurated, and this time, he will truly assume the role of the emperor. With the Senate under his control, pushing forward legislative matters in Congress will become much easier. Powell, Chairman of the Federal Reserve, has stated that the Fed is not qualified to purchase Bitcoin and does not seek legislative changes to do so. However, if Trump insists on pushing legislation in Congress, the U.S. could potentially establish a Bitcoin reserve. Therefore, the current bearish sentiment may eventually turn into a reverse bullish scenario in the future.
Additionally, in January, FTX compensation of $16 billion in US dollars or fiat currency will be paid, which will likely flow back into the cryptocurrency market. Combined with the return of U.S. ETFs, the market in January still holds considerable expectations. Thus, the market dip in late December or early January is likely to be a critical point to watch, especially for funds looking to exit the market at its peak.
