Inside World Liberty Financial: Behind the Trump Crypto Venture’s Windfalls and Legal Troubles

World Liberty Financial, the high-profile cryptocurrency venture associated with Donald Trump and his family, is coming under renewed scrutiny as internal disputes, steep investor losses, and reports regarding its origins highlight the volatile mechanics behind the project.

The price of the project’s native WLFI token has plunged by more than 80 percent since it debuted on public trading markets last September. The market decline follows an ongoing legal battle between the venture and TRON blockchain founder Justin Sun, who poured $45 million into the company in 2024 to acquire tokens and assume an advisory position. Sun filed a lawsuit in April accusing World Liberty Financial of fraud, breach of contract, and unlawfully freezing his digital assets after discovering the initiative was structured primarily to enrich core insiders rather than broader token holders. World Liberty Financial has since filed a defamation claim against Sun in response.

Despite the severe depreciation of the token’s market value, the enterprise has proven immensely profitable for its founders. According to official financial disclosures released in July, business entities linked to Donald Trump generated $600 million from World Liberty Financial alone. Overall, crypto-related holdings accounted for approximately $1.4 billion of his estimated $2.2 billion net worth at the time of the filing.

Details surrounding the early formation of World Liberty Financial point to a rapid and unconventional build-out. Veteran cryptocurrency venture capitalist Nic Carter revealed in a feature published by New York magazine that he declined an offer to join the project as an advisor in 2024. Carter stated that cofounder Steve Witkoff—now serving as U.S. special envoy to the Middle East—demonstrated little technical familiarity with decentralized finance protocols or token architecture during initial discussions.

According to Carter, Steve Witkoff mispronounced memecoins as “me-me” coins while explaining that Donald Trump’s initial interest in digital assets was sparked by his son, Barron Trump, experimenting with meme-inspired tokens. Carter noted that the absence of a working product or clear operational strategy led him to conclude the venture was centered entirely on token issuance.

The enterprise first surfaced publicly in August 2024 when Donald Trump and his two eldest sons announced the initiative across social media channels. By September, the company published its “Gold Paper”—a variation on the traditional white paper framework standard in digital asset launches—outlining plans for a decentralized finance platform designed to broaden access to capital markets. Beyond Donald Trump, his three sons, and Steve Witkoff, the document named Witkoff’s two sons alongside internet marketer Chase Herro and former pickup artist Zak Folkman as cofounders.

Following his presidential election win after campaigning on promises to establish a light-touch regulatory environment for digital assets, Donald Trump stepped down from his official role at World Liberty Financial upon taking office in January 2025, with Steve Witkoff relinquishing his position at the company during the same period.