Reports Claim $10 Million to $15 Million Buy-In for Trump-Backed Project, But TRON and Movement Labs Deny Token Swap Agreement
Representatives from two protocols whose tokens are held by the World Liberty Financial (WLFI) treasury are refuting claims of a token swap agreement that allegedly involved a $10 million to $15 million buy-in to join the project, which is backed by former President Donald Trump and his family.
A report from Blockworks on Monday suggested that WLFI had approached protocol teams with an offer to include their tokens in the project’s treasury. According to the alleged pitch, the protocols would need to buy $10 million worth of WLFI tokens with a 10% fee, and in return, WLFI would purchase an equal amount of the protocols’ tokens.
However, both TRON and Movement Labs have denied the existence of such an agreement. A spokesperson from TRON told CoinDesk, “There is no token swap agreement.”
TRON’s TRX token is currently the second largest holding in WLFI’s wallet, according to data provided by Arkham. The WLFI wallet holds 40.7 million TRX, valued at approximately $9.3 million, with purchases made in multiple tranches throughout January.
Movement Labs, whose MOVE token saw a significant surge in late January after WLFI acquired $2 million worth of it, also denied the existence of a token swap arrangement. Rushi Manche, co-founder of Movement Labs, explained to CoinDesk, “There weren’t any deals — no backdoor arrangements. It was simply market buying.”
This comes amid ongoing rumors surrounding WLFI’s activities and its purported ties to influential figures like Elon Musk’s Department of Government Efficiency. Despite these claims, both TRON and Movement Labs maintain that their involvement with WLFI was limited to market transactions without any formal agreement for a token swap.
