What happened?
The Trump family, through an entity they control, now holds a 60% equity share in World Liberty Financial, making them the controlling party. The original co-founders of the platform, Zak Folkman and Chase Herro, have been replaced by this entity led by Donald Trump and his family. This change was confirmed by a report from Reuters and is reflected in the information on the World Liberty Financial website.
Who does this affect?
This development primarily affects investors and stakeholders in World Liberty Financial, as well as those involved in the cryptocurrency and blockchain sectors. It also impacts the Trump family members who hold various roles within the company, with Trump being named the “chief crypto advocate” and his sons taking on key Web3 roles. Additionally, U.S. lawmakers and regulators might be affected, as this change could influence upcoming discussions on crypto legislation.
Why does this matter?
The takeover by the Trump family could significantly impact the crypto market, particularly in terms of regulatory scrutiny. With their influential position, the family’s involvement in World Liberty Financial might draw political attention, especially ahead of scheduled crypto legislation talks in Congress. Moreover, the introduction of a new stablecoin, USD1, by World Liberty Financial under the Trump family’s leadership, could further affect market dynamics and regulatory policies.