Trump-Linked Firm Dumps $11.75M in Bitcoin Amid Market Drop

CryptoFrontNews
BTC7,63%
WBTC7,61%
USDC-0,01%
WLFI2,26%
  • World Liberty Finance sold 173 WBTC for USDC as Bitcoin fell, likely to cut risk and protect value during volatility.

  • The Bitcoin sales happened in quick bursts, showing a defensive move toward stablecoins rather than panic selling.

  • The firm is also under U.S. scrutiny over a $500M UAE-linked deal, raising concerns about politics and foreign influence.

World Liberty Finance, a crypto project tied to the Trump family, sold 173 Wrapped Bitcoin (WBTC) for approximately $11.75 million in USDC on February 5. The sales happened during heightened Bitcoin price swings, suggesting the firm reduced exposure to market risk.

According to the data, there have been major transactions where 73 WBTC was sold for $5.04 million, while 100 WBTC was sold for $6.71 million. However, the transactions were made when Bitcoin’s price was going down—showcasing the firm’s strategy for sticking with stablecoins.

These WBTC offloads came in two separate bursts, first at 13:40 UTC and 13:41 UTC, followed by a larger sale at 17:25 UTC. Hence, World Liberty Finance managed to secure a significant portion of capital in USDC, effectively shielding itself from further volatility.

Analysts note that such moves are typical when entities aim to preserve value during sharp market drops. Moreover, timing these trades during a price decline can indicate risk mitigation rather than speculative selling.

$500M UAE Deal Under Congressional Scrutiny

Besides crypto sales, World Liberty Finance faces a U.S. congressional investigation over a $500 million deal linked to Donald Trump’s return to the White House. House Democrats, led by Rep. Ro Khanna, are probing the firm after reports revealed a UAE-linked entity acquired a major stake just days before Trump’s second inauguration.

The Jan. 16, 2025 agreement gave Aryam Investment 1, a firm registered in Delaware and Abu Dhabi, a 49% stake in WLFI. Aryam paid $250 million upfront, with $250 million due by July 2025.

Eric Trump signed the deal on behalf of WLFI, directing $187 million to Trump-affiliated entities, $31 million to WLFI co-founders, and $31 million to Zak Folkman and Chase Herro.

Importantly, the UAE investor did not receive governance token rights, limiting exposure to equity only. Consequently, lawmakers question potential conflicts of interest and foreign influence, considering Sheikh Tahnoon bin Zayed Al Nahyan backed Aryam Investment 1.

Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to Disclaimer.

Related Articles

Michael Saylor: Strategy Bitcoin purchase potential exceeds the amount available for sale in the market

Odaily Planet Daily reports that Strategy founder and executive chairman Michael Saylor posted on the X platform stating that Strategy has strong purchasing power, and its Bitcoin buying potential exceeds the amount available for sale in the market (We can buy more Bitcoin than they can).

GateNewsJust Now

Bitcoin Poised for Next Leg Down as $73K Precedes Death Cross

Bitcoin is navigating a delicate chart landscape as traders weigh the risk of a protracted bear cycle against the possibility of a renewed bounce. After a March rally, market watchers say a sustained move higher will require a meaningful bullish catalyst to overcome persistent resistance and the wei

CryptoBreaking10m ago

Bitcoin slides 3% as assets rout; Gold smashes to $5K on oil fears

Bitcoin (CRYPTO: BTC) pulled back from its recent tilt toward the $70,000 threshold as geopolitical tensions in the Middle East intensified concerns about oil supply and global inflation. The closure of the Strait of Hormuz sparked a broad risk-off mood, with equities slipping and safe-haven

CryptoBreaking14m ago

Eric Trump: The family mining company American Bitcoin's Bitcoin holdings surpass 6,500 coins

BlockBeats News, March 5th, Eric Trump, the second son of Donald Trump, announced on the X platform that the Trump family’s mining company, American Bitcoin, has surpassed 6,500 BTC holdings (an increase of over 500 BTC in the past 21 days). American Bitcoin has become the 17th largest publicly listed Bitcoin company in the world.

GateNews17m ago

Data: 240 BTC transferred to Jump Crypto, valued at approximately $21.72 million

ChainCatcher reports that, according to Arkham data, at 00:15, 240 BTC (worth approximately $21.72 million) was transferred from multiple anonymous addresses to Jump Crypto.

GateNews31m ago
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)