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World Liberty Financial launches WLFI token buyback and burn after 41% price drop in September, aiming to stabilize value by cutting supply.
Author: Akshat Thakur
September 26, 2025 – World Liberty Financial (WLFI), the Trump-backed DeFi platform, has confirmed the launch of a WLFI token buyback and burn program this week after a steep 41% decline in token value during September. The move aims to stabilize the price by cutting circulating supply and boosting scarcity.
World Liberty Financial said it will repurchase WLFI tokens on the open market using liquidity fees collected from its own pools on Ethereum, BNB Chain, and Solana. The repurchased tokens will be sent to a burn address, permanently removing them from circulation.
The governance proposal to introduce a WLFI token buyback received overwhelming support, passing with 99% approval from community holders. The team emphasized that only WLFI-controlled liquidity fees will be used, meaning third-party or community pools remain unaffected.
According to CoinGecko, WLFI traded at $0.19 on Friday, down from its September 1 high of $0.33. This 41% drop triggered community demand for action, resulting in the buyback approval.
Speculation suggests that the mechanism could burn around 4 million WLFI tokens daily, which would amount to nearly 2% of total supply in a year. However, the exact figure remains uncertain, as the team has not disclosed official targets.
The introduction of a WLFI token buyback could help absorb selling pressure and strengthen tokenomics by ensuring steady demand. If successful, the strategy could create long-term scarcity, boosting confidence among existing holders.
Community members note that aligning the buyback mechanism with platform growth ensures sustainability: as trading volumes rise, more WLFI tokens will be bought and burned. However, risks remain if volumes stagnate or token utility does not expand.
Token buybacks and burns are a common strategy in the crypto industry, mirroring stock buybacks in traditional markets. Projects like Binance Coin (BNB) and Shiba Inu (SHIB) have used regular burns to reduce supply and increase scarcity. WLFI’s adoption of this model signals its intent to join established DeFi projects in strengthening long-term fundamentals.
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