World Liberty Finance Moves to Buy Back and Burn WLFI Tokens Amid Community Vote
World Liberty Finance has announced a for a purchaseback program for its native token (WLFI). The plan would use protocol-owned liquidity (POL) generated from WLFI Treasury fees to purchase and burn tokens.
The proposal, which is now open for community voting, will cover WLFI across Solana, ETH, and Binance Chain networks.
Notably, liquidity providers and third-party fees will not be included in the purchaseback program. Instead, the allocation will remain strictly with them. The protocol also stated that all purchases and burns will be conducted manually, with proof available on-chain for verification across the supported networks.
Market Impact of the Proposal
purchaseback-and-burn programs are often used by protocols to reduce the supply of tokens in circulation, creating a potential supply squeeze.
A supply squeeze occurs when the number of tokens available falls below market demand, often driving the asset’s price higher.
In its X post announcing the proposal, World Liberty Finance noted that its plan goes beyond simply boosting demand for WLFI. The stated objective is to “reduce circulating supply and reward long-term holders.”
So far, the vote has shown overwhelming support, with 99.57% in favor. Only 0.43% of votes were cast against or abstained.
If approved, WLFI would join a small group of protocols adopting this approach. , for example, has spent millions on a similar model, which analysts believe contributed to its recent all-time high.
About World Liberty Finance
World Liberty Finance is a crypto entity owned by . The project recently went live on multiple platforms later than an initial presale designed to attract long-term investors.
WLFI launched for spot trading in September with a market capitalization of $5.12 billion. At press time, the token trades at $0.207, up 14.83% over the past week. However, it has delivered an overall decline of 9.2% since launch.
Discussions about a purchaseback program began earlier in September, with the proposal positioned as a way to strengthen WLFI’s tokenomics.
criticism of the plan, with some arguing that such a move could divert resources from operations and growth initiatives.
