Critics Warn Trump Family May Be 'Laying the Groundwork to Cash Out' WLFI Crypto Stake

Critics have warned that the Trump family may be 'laying the groundwork to cash out' from World Liberty Financial after on-chain data revealed a newly reported vesting schedule that could make a portion of President Donald Trump's WLFI holdings eligible for release from May 2028.

The development has intensified scrutiny of the Trump family-linked crypto venture and renewed questions about potential conflicts of interest as the Senate considers the CLARITY Act and proposed restrictions on federal officials' cryptocurrency interests.

World Liberty Financial was founded in 2024 by members of the Trump and Witkoff families and is now operated by their sons.

Trump's latest financial disclosures show that he holds 15.75 billion WLFI governance tokens, while reporting based on the token's market price has placed the holding's value at roughly $800 million (£593 million). On-chain records show that a wallet matching Trump's disclosed holding was moved into a vesting contract, with the tokens subject to a mandatory 10 per cent burn and a two-year cliff.

The disclosure itself, however, valued the tokens at more than $50 million (£37 million) rather than assigning them an $800 million (£593 million) cash value.

WLFI Unlock Timeline Fuels Cash‑Out Fears

Blockchain records reported this week show six insider wallets entering a vesting contract in May. The largest wallet deposited about 15.75 billion WLFI, with roughly 14.175 billion remaining after a required 10 per cent burn.

The contract imposes a two-year cliff followed by a three-year linear vesting period, making May 2028 the earliest potential release point. The schedule does not, by itself, establish that Trump or his family intends to sell the tokens.

That timeline has sharpened criticism that the structure appears designed to defer sales until after the next election cycle, even as senators weigh proposed ethics provisions that could require officials with significant crypto interests to divest or place certain holdings in a blind trust.

Trump has now accepted ethics restrictions he had long resisted, including allowing state attorneys general to enforce the bill's restrictions. Senate Republicans released revised CLARITY Act text ahead of a procedural vote, although it remains uncertain whether the legislation will secure the 60 votes needed to advance.

Critics argue the vesting map effectively 'lays the groundwork to cash out' once the cliff expires, while the White House maintains Witkoff has fully divested and that prior commercial activities are unrelated to his diplomatic work.

A White House spokesperson said Witkoff had 'fully divested from World Liberty Financial', while earlier World Liberty statements said he was in the process of divesting.

World Liberty has repeatedly brushed aside conflict-of-interest concerns, insisting Witkoff holds no operational role or influence over day-to-day decisions.

AI Outburst Adds to Optics Headache

The crypto story landed as Trump reignited another controversy with a day-long Truth Social barrage dismissing AI safety concerns and mocking industry leaders who have called for regulation.

He described AI alarmism as a 'hoax' akin to climate change and the 'Russia, Russia, Russia' investigation, adding that those sounding alarms were 'Revolutionaries, but Revolutionaries for a Bad and Evil Cause.'

'The only control or 'guardrails' that AI needs is a STRONG AND SMART (High IQ!) PRESIDENT,' Trump wrote, claiming his administration had already stopped AI 'people' from doing bad things and alleging a 'SICK conspiracy' against AI and data centres that only China benefits from.

The posts drew swift ridicule online, with some commentators calling Trump 'manifestly unfit' and comparing the idea of his presidency to asking a toddler to drive you to work.

Others quipped that the 'dude who doesn't understand how paint works is trying to explain away A.I. worries,' while one political commentator unleashed a torrent of expletive-laced condemnation.

There is no evidence that Trump or his family has decided to sell the tokens once they become eligible for release.