Trump Family's World Liberty Stake: Cashing Out or Cooling Down?

The Trump family's reduced stake in World Liberty Financial raises questions about profits, regulation, and potential conflicts of interest. What's next for Trump and crypto?

Yo, what's the deal with the Trumps and crypto? It's a wild ride, and the latest twist involves the family quietly trimming their stake in World Liberty Financial (WLF). Are they cashing out, or is there more to the story? Let's break it down, New York style.

Trump Family's World Liberty: A Quick Recap

The Trump fam has been deep in the crypto game with World Liberty Financial, their flagship venture. Things got real when WLF's token sales blew up, hitting over $550 million. Word on the street is they've quietly reduced their ownership from 60% to 40%. What does this mean? Let's dig in.

The Big Sell-Off: What We Know

According to Forbes, DT Marks DeFi LLC, which is basically Trump and his relatives, made the move. This ain't their first rodeo either. Back in December 2024, they held a hefty 75% stake. By January, it was down to 60%. Now, it's just 40%. They've shed over a third of their control in just six months. Why the sudden retreat?

Potential Windfall: Millions on the Table

Analysts are buzzing that this 20% sale could've landed them around $190 million. Word is Trump himself might pocket about $135 million. This valuation is based on comparing WLF to Circle, the stablecoin giant that went public and saw its stock skyrocket. Plus, Trump already raked in $57.4 million from WLF token sales last year. Not bad for a side hustle, right?

Regulation Rumble: The GENIUS Act and Beyond

This divestment is happening as lawmakers are breathing down their necks, demanding investigations into Trump's crypto ties. Congress is debating the GENIUS Act, aimed at regulating stablecoins. The Senate already gave it the green light, but its future in the House is still up in the air. Senators Warren and Merkley are raising concerns about potential conflicts of interest, which could slow things down. Is Trump trying to get out before the heat gets too intense?

The USD1 Stablecoin: A Rising Star

Meanwhile, WLF's stablecoin, USD1, is making waves. It's now the fifth-largest stablecoin, boasting a market cap of over $2.2 billion. This got a major boost when the UAE President used USD1 for a $2 billion investment into Binance. Plus, crypto billionaire Justin Sun, a major investor in WLF, is all in on the Trump-themed TRUMP meme coin. It's all connected, see?

Secrecy and Scrutiny: What's Next?

The Trump Organization and WLF are staying mum on the sale. Key details are still under wraps. Who bought the 20% stake? Was there any actual cash involved? The lack of transparency is fueling speculation. Critics are calling out the conflict-of-interest risks, and the public wants answers. But, let's be real, when do we ever get all the answers we want?

My Two Cents: A New York Perspective

Here's my take: The Trumps are shrewd business people. They see an opportunity, they jump on it, and they know when to pull back. This could be a strategic move to lock in profits while the market's hot, or maybe they're anticipating tougher regulations down the line. Either way, they're playing the game like seasoned pros. Plus, with all the international connections and big names involved, you know there's more to this story than meets the eye. Just keep your eyes peeled, New York. This is a story we'll be watching.

Wrapping It Up

So, the Trump family's World Liberty Financial adventure continues. Are they cashing out, cooling down, or just making room for the next big thing? Only time will tell. But one thing's for sure: this is one crypto saga that's far from over. Stay tuned, folks!