Chase Herro, co-founder of President Donald Trump’s DeFi platform, World Liberty Financial (WLFI), has revealed plans to establish a “strategic reserve” composed of tokens acquired by the platform.
However, he did not clarify the purpose of this reserve, leaving room for speculation about its potential role in the project’s future, Bloomberg reported.
World Liberty Tokens Will Be Used To Create A Strategic Reserve
Herro made this announcement at the Ondo Finance Summit in New York, where Donald Trump Jr introduced him. The panel also included WLF co-founders Zak Folkman and Zach Witkoff.
Witkoff, the son of real estate mogul Steve Witkoff, has played a crucial role in connecting the Trump family with WLFI. His father, a close ally of President Trump, was recently chosen as Trump’s envoy to the Middle East.
Trump Administration’s Digital Asset Push
The concept of a token reserve gained attention after President Trump, during his election campaign last year, pledged to explore digital asset stockpiles.
In line with this promise, he signed an executive action last month to evaluate the feasibility of creating such a reserve for the United States. However, it remains unclear whether WLFI’s reserve aligns with government initiatives or serves separate business interests.
Trump Jr. Engages Crypto Industry
Trump Jr.’s appearance at the Ondo Finance Summit, held at Jazz at Lincoln Center, highlights the Trump administration’s growing interest in the crypto sector. The event saw attendees eager to interact with Trump Jr., with many requesting photos and engaging in discussions about WLFI.
His speech followed a $470,000 purchase of ONDO tokens by World Liberty Financial earlier that day. ONDO is the native token of Ondo Finance, which recently announced the launch of its own layer-1 blockchain, Ondo Chain.
Also Read: Trump Backed World Liberty Buys $AAVE For 3rd Consecutive Day, Spends 662K USDC For $AAVE
WLFI’s Market Moves Raise Questions
Earlier this week, World Liberty Financial added tens of millions of dollars worth of Ether to its holdings. This move came after a sudden crypto market dip caused by President Trump’s brief tariff imposition on Mexico and Canada over the weekend.
Despite being marketed as a DeFi lending platform, WLFI has yet to become operational. So far, its most notable activities involve purchasing digital tokens, fueling speculation about its actual business model and long-term goals.
Concerns Over Conflicts of Interest
Since its launch in October, WLFI has faced scrutiny over potential conflicts of interest.
The Trump family has a direct influence on cryptocurrency regulation, yet Donald Trump Jr., Eric Trump, and Barron Trump are all listed as Web3 Advisors for WLFI.
The family’s active promotion of the platform through social media and public appearances has further raised ethical concerns.
Key Figures Weigh in on Crypto Regulation
The Ondo Finance Summit also featured key figures in crypto regulation, including House Financial Services Committee Chair Patrick McHenry, acting Commodity Futures Trading Commission (CFTC) Chair Caroline Pham, and former CFTC Chair J. Christopher Giancarlo, widely known as “Crypto Dad.”
Giancarlo expressed optimism about the Trump administration’s stance on crypto, stating, “The promises are being delivered on. It’s one thing to remove bad policies, but creating good policies is the real challenge.”
Although World Liberty Financial positions itself as a DeFi platform, its lack of operational activity and focus on token accumulation raise questions about its true intentions.
With the Trump family’s deep involvement and the administration’s growing influence over crypto regulations, WLFI’s future will be closely watched by both supporters and sceptics.
Also Read: Trump’s World Liberty Spends 250K $USDC to Buy 134,216 $ONDO, Price Surges Past 14%