World Liberty Financial, the Trump-backed cryptocurrency venture, announced Thursday that it is launching a buyback program for its WLFI governance token. The move follows a decline that has erased more than 60% of the token's value this year.
The company said the program would begin with an initial allocation potentially funded by revenue from reserves backing its USD1 stablecoin and other sources. World Liberty said the buyback is intended to encourage more holders to participate in protocol governance and give long-term investors greater voting power. The company also suggested that token repurchases could become a regular part of its strategy.
The announcement comes as WLFI continues to face selling pressure following this week's US midterm elections, in which Republicans performed worse than expected. The token has fallen about 10% since the vote and is now down more than 60% this year.
The decline puts the Trump family's financial stake in World Liberty Financial back in focus. Trump reportedly still holds billions of WLFI tokens, leaving the value of those holdings exposed to the token's continued price performance.
For WLFI holders, another event to watch is the November 22 gala dinner, which is scheduled to bring together Trump and the token's top 185 holders.
Democrats win control of Congress, putting Trump under scrutiny
Democrats' victories in the November 3 midterm elections have shifted control of Congress, giving the party majorities in both the House and Senate. This puts them in a stronger position to investigate the Trump family's business interests through congressional hearings, subpoenas, and committee oversight.
World Liberty Financial could be among the first targets. Representative Robert Garcia, expected to lead the House Oversight Committee, has indicated that the panel plans to examine the Trump family's crypto dealings.
One issue likely to attract attention is the reported $500 million investment by an Emirati royal in World Liberty. Senator Elizabeth Warren and four other Democrats had already called for hearings into the deal in June, citing concerns about potential conflicts of interest.
Warren is also expected to become chair of the Senate Banking Committee in January 2027, although her appointment has not been finalized. According to The Wall Street Journal, her priorities could include crypto consumer protection, alleged insider trading in prediction markets, and potential conflicts of interest involving Trump and his family. Her expected appointment could give her greater influence over cryptocurrency oversight and efforts to introduce stricter industry regulations.
The investigations may also extend to Trump Media. In July, Warren and Senator Adam Schiff asked the SEC to investigate its Truth API, which gives trading firms early access to the president's social media posts.
Democrats will gain greater investigative powers when the new Congress begins in January. However, passing legislation could turn out harder, as Trump can veto bills, and overriding him requires a two-thirds majority in both chambers.
Trump-linked tokens hit record lows as Trump Media moves $343 million in Bitcoin
The election results produced steep losses across several assets associated with Trump and his family. Official Trump (TRUMP) and Melania Meme (MELANIA) both reached record lows, while Trump Media & Technology Group (DJT) shares recorded their lowest closing price.
TRUMP fell 22% this week to $1.2, after touching a record low of $1.12 on November 5. The token is now approximately 98.3% below its January 2025 peak of $73.43.
MELANIA declined 18.37% to $0.06176, following a new low of $0.05955. It has lost approximately 99.5% of its value since reaching $13.05.
Trump Media shares (DJT) also dropped 28.91% this week to close at $4.49. Currently, it is down 10.47% from a day earlier and trading at $4.02.
Trump Media is facing fresh questions about its Bitcoin holdings after wallets linked to the company transferred approximately 4,259 BTC, worth about $343.67 million, to Crypto.com.
Onchain analytics firm Lookonchain first reported the movement, while Arkham Intelligence linked the sending wallets to Bitcoin pledged as collateral for Trump Media's convertible notes. The amount is almost identical to the 4,260.73 BTC the company disclosed as collateral for its $1 billion debt financing in a June 30 filing.
The timing has also drawn attention because holders of the convertible notes can demand cash repayment on November 30, 2026. If they exercise that option, Trump Media could face a repayment obligation of about $1 billion. The company has also warned in its securities filing that it may need to sell Bitcoin or other digital assets if it cannot secure refinancing or alternative funding.
For now, the transfer shows that a large amount of Bitcoin has moved to new wallets. It does not confirm that Trump Media has sold any of its holdings.
