World Liberty Financial (WLFI) has proposed a governance plan to immediately burn 4.52 billion tokens and restructure vesting schedules for 62.28 billion locked tokens. The proposal, put forward amid investor dissatisfaction over liquidity, introduces stricter unlock conditions with longer delays and multi-year distributions. It comes as notable investor Justin Sun publicly questioned the project’s transparency and governance.
World Liberty Financial has proposed a drastic change to its token supply schedule to address investor concerns. The plan calls for the immediate burning of 4.52 billion WLFI tokens and the migration of 62.28 billion locked tokens into new vesting programs.
The proposal introduces stricter release terms across all stakeholder categories. Early supporters face a two-year delay before two-year distributions, while founders and internal opt-ins have a two-year lockup followed by three-year releases with some permanent burns.
The move responds to growing frustration among buyers waiting for liquidity solutions, with some reportedly considering legal action. Justin Sun’s comments on the project’s transparency further heightened tensions, stating, “I have always been an ardent supporter of President Trump and his crypto friendly policy.”
He questioned fairness in governance where a few wallets held majority votes. WLFI was reported to take legal action against Sun following his remarks.
On-chain data shows wallets linked to WLFI used billions of tokens to secure a loan for approximately $75 million in stablecoins. The token’s price has also recently hit a new low.
Governance participation has been minimal, with only about 23% of the affected locked supply voting on past policies. This raises questions about the concentration of voting power among participants.
While focused on token economics, critical issues regarding control and governance remain unresolved. The vote outcome will influence both token release schedules and future project direction. WLFI contends the network now requires a definitive timeline.
