World Liberty Financial has proposed unlocking 62.3 billion WLFI governance tokens that were previously fully locked without any vesting schedule. The move introduces a structured distribution model aimed at gradually releasing supply over time.
Token Burn and Vesting Schedule Details
Under the proposal, early supporters holding 17 billion WLFI tokens will retain their full allocation but will face a two-year cliff followed by a two-year linear vesting schedule. Meanwhile, founders, advisors, and team members holding 45.2 billion tokens will see 10% of their allocation around 4.5 billion tokens permanently burned, reducing total supply.
The remaining 40.7 billion tokens assigned to insiders will begin unlocking after a two-year cliff, followed by a three-year vesting period. These tokens were previously locked indefinitely with no clear liquidity pathway.
Governance and Market Impact Considerations
The restructuring shifts WLFI from a static supply model to a phased emission system, balancing token burn pressure with long-term unlocking. The proposal highlights a major governance adjustment as the project redefines insider incentives while maintaining controlled token circulation across its ecosystem.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.
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