World Liberty Monetary (WLFI) has accepted a neighborhood proposal to airdrop its USD1 stablecoin to eligible token holders, based on a Might 15 assertion.
The governance vote, which ran from Might 6 to Might 13, acquired near-unanimous assist, with 99.96% of members backing the initiative. In whole, round 7 billion tokens have been dedicated to the proposal.
Following the approval, WLFI’s group introduced it’s getting ready the rollout and can quickly share the ultimate airdrop particulars.
Whereas the vote clears a big hurdle, the venture reserves the proper to proceed with or cancel the airdrop primarily based on operational readiness.
Whales dominate WLFI’s governance voting
Notably, governance knowledge reveals that voting energy for the proposal was extremely concentrated amongst whales.
In accordance with the information, simply 5 addresses accounted for over 40% of the whole votes. One deal with alone managed 1 billion WLFI tokens, representing 14.75% of the voting weight. One other held 666.7 million tokens, contributing 9.8%, whereas two others had 500 million every, representing 7.37% apiece.
This excessive focus stage raises critical considerations concerning the decentralization and decision-making course of within the venture’s decentralized autonomous organizations (DAOs).
WLFI and USD1 scrutiny continues
The airdrop announcement comes at a delicate time for WLFI and USD1, which have been criticized for his or her political connections and investor profile.
US lawmakers have persistently questioned the venture’s ties to US President Donald Trump and flagged potential moral considerations associated to the venture.
A current letter to Treasury Secretary Scott Bessent, signed by a number of Democratic lawmakers, flagged WLFI’s resolution to order 90% of its token sale for international traders.
The lawmakers identified that the enterprise had acquired a $75 million funding from controversial crypto entrepreneur Justin Solar, who had been beneath the SEC investigation till just lately. They famous that:
“The SEC [has] requested the courtroom to pause its enforcement motion towards Mr. Solar, elevating troubling questions on whether or not the Trump Administration’s obvious abandonment of its gravely critical expenses towards Mr. Solar constituted an unlawful quid professional quo in trade for his largesse directed at this Trump household enterprise.”
Contemplating this, the letter warned that the transfer might expose the US monetary system to dangers, particularly given allegations that some traders may need ties to prison exercise or ongoing investigations.
Nonetheless, in response to the accusations, Zach Witkoff, one of many venture’s co-founders, argues that the world wants options like WLFI and USD1. He wrote:
“America — and the remainder of the world — wants options like USD1. We is not going to be intimidated by politicians with an axe to grind.”
