- The Decentralized Finance (DeFi) platform backed by the Trump family, World Liberty Financial (WLF), is reported to have accumulated a significant amount of ETH, AAVE, and LINK.
- Both LINK and AAVE responded with a massive surge in price, leading the altcoin market to a bullish reversal.
Both Chainlink (LINK) and Aave (AAVE) print a whopping 30% surge on their 24-hour price charts following reports that a wallet address associated with the World Liberty Financial (WLF) project had made multiple purchases. At press time, LINK and AAVE were trading at $28.9 and $355 respectively.
Details of the Purchases
Analyzing on-chain data, we observed that WLF had purchased $10 million worth of Ethereum (ETH) and $1 million each in LINK and AAVE.
Further researching into this, we discovered data from “Spot on Chain” which shows that WLF had made additional purchases of $30 million worth of ETH. Meanwhile, a renowned crypto trader identified as TheFlowHorse believes that this aggressive accumulation hints at a bigger announcement that could hit the industry in the coming months.
U.S. President-elect Donald Trump’s World Liberty Financial (@worldlibertyfi) has spent $12M on $ETH, $AAVE, and $LINK in the past 10 hours, including:
• 2,631 $ETH ($10M) at ~$3,801
• 3,357 $AAVE ($1M) at ~$297.8
• 41,335 $LINK ($1M) at ~$24.19
This is the fund’s first… pic.twitter.com/izCy3nLGjR— Spot On Chain (@spotonchain) December 12, 2024
World Liberty Financial is a unified lending and borrowing platform backed by the Trump family. According to reports, the two sons of the US president-elect, Eric, and Donald Trump Jr., are the project’s ambassadors. Currently, WLF leverages Chainlink’s services to integrate with the broader ecosystem. According to our research, Chainlink provides price data and cross-chain interoperability infrastructure to the Trump-backed project.
Commenting on the token acquisition, Chainlink community liaison Zach Rynes disclosed that the $1 million LINK purchase underscores the commitment between the two platforms.
With Trump’s World Liberty Financial DeFi platform adopting the Chainlink standard for data and cross-chain connectivity earlier this year, the recent on-chain purchase of $1M in LINK only further strengthens the long-term alignment between the two ecosystems. As the new administration brings regulatory clarity for crypto in the US, Chainlink and WLFi are well positioned to scale DeFi to the masses in a way never seen before.
WLF Collaboration with Aave
In October, WLF also submitted a proposal to the Aave governance forum to use the platform for its crypto offerings. According to our research, AAVE would receive 20% of protocol fees generated by WLF in return. Additionally, it would receive 7% of the supply of the platform’s governance token, WLFI.
Delving deeper into this, we found that users would be rewarded for participating in the WLFI tokens liquidity pools. Meanwhile, the initial plan was that WLFI would receive deposits in Ethereum (ETH), Wrapped Bitcoin (WBTC), USDT, and USDC. With this, Aave stands to benefit from the significant entry of first-time Decentralized Finance (DeFi) users and the provision of stablecoin liquidity for ETH and WBTC.
In a blog post, WFL highlighted that its collaboration with Aave combines “peer-to-peer and permissionless lending and borrowing, which has been the main support of DeFi as well as the usability and UX of Web2.”
WLFi is proposing to launch an instance on Aave, subject to a successful governance vote by the AaveDAO as well as on WLFi’s governance platform. Through this proposed Aave instance, the WLFi protocol has the potential, if approved, to provide users access to one of DeFi’s pre-eminent, battle-tested, non-custodial, peer-to-peer, borrowing, and lending platforms.
