The Trump family is significantly reducing its involvement in the cryptocurrency company, World Liberty Financial (WLF). According to Forbes, entities linked to former President Donald Trump have sold off about 20% of their stake, dropping their ownership from 60% to 40%.
Trump Family’s Crypto Profits
While Trump himself isn’t directly involved in the transactions, the report suggests someone close to him is managing the sale. The Trump family has reportedly already made millions from WLF, with Barron Trump, the youngest son, earning over $40 million as a promoter and “Web3 Ambassador,” alongside his brothers, Don Jr. and Eric. The family’s total earnings from WLF are estimated to be around $200 million.
The family’s reduced stake follows a series of changes in WLF’s structure, indicating a gradual withdrawal from the venture. Neither the Trumps nor WLF have commented publicly on the reasons for the sell-off. However, speculation suggests the family is taking profits while the market is still strong.
Accusations of Corruption
This move has drawn criticism, with experts accusing the Trump family of prioritizing personal gain over national interests. Julian Zelizer, a political history expert at Princeton University, stated that Trump’s crypto dealings appear to be driven by self-interest rather than benefiting the nation.
Crypto Market Slowdown
This sell-off coincides with a broader downturn in the cryptocurrency market. Bitcoin and Ethereum have seen significant losses recently, and predictions suggest a potentially sluggish summer for the crypto sector. Trading firm QCP Capital points to macroeconomic factors and seasonal trends as contributing to a period of low volatility and cautious investor sentiment. The Trump family’s actions might be a sign that other institutional investors are also pulling back, leading to a cautious market stalemate. Essentially, it’s a crypto summer slump.