The World Liberty Fi (WLFI) crypto portfolio, closely linked to the Trump family, has experienced a significant 15% drop in value, amounting to over $53 million in unrealized losses.
Initially valued at $347 million, the current value of the portfolio has fallen to approximately $291 million.
WLFI’s holdings are diversified across 12 notable cryptocurrencies, including Ethereum (ETH), Wrapped Bitcoin (WBTC), TRON (TRX), Chainlink (LINK), and Aave (AAVE), among others.
The sharp dip in portfolio value underscores the persistent volatility and unpredictability of the cryptocurrency market, even for high-profile institutional or politically connected investors.
Core Holdings Take Bigger Hit, Ethereum Leads Losses
A closer examination of the WLFI core portfolio, which excludes the recent EOS acquisition, reveals a more severe loss.
The fund invested $344 million across 11 core assets, ETH, WBTC, TRX, LINK, AAVE, ENA, MOVE, ONDO, SEI, AVAX, and MNT.
These tokens are now worth a combined total of just $201 million, reflecting a steep 41% unrealized loss and a paper decline of $143 million.
The bulk of the losses are attributed to Ethereum (ETH), which accounts for $112 million of the downturn.
ETH’s underperformance has had a profound effect on WLFI’s overall portfolio health, given its dominant allocation and influence in the crypto ecosystem.
Strategic Accumulation Continues Despite Market Losses
In spite of mounting losses, WLFI appears to be doubling down on its long-term investment strategy. The fund has made two major acquisitions in recent weeks.
In April, it spent $775,000 to acquire 4.894 million SEI tokens at $0.158 per token.
Most notably, just over an hour before the latest valuation analysis, WLFI used nearly $3 million USDT to purchase 3.636 million EOS tokens at a price of $0.824 each.
These moves reflect a broader accumulation strategy, suggesting that WLFI remains confident in the eventual recovery and appreciation of its chosen assets, rather than being reactionary to short-term market fluctuations.
WLFI Acquires EOS Amid Rebranding and Cross-Chain Complexity
The $3M purchase of EOS marks WLFI’s first foray into the token, and although the asset represents a small fraction of the portfolio, it could indicate a strategic endorsement.
However, the acquisition is complicated by EOS’s upcoming rebrand to a new ticker, Vaulta. WLFI purchased the Binance Smart Chain (BSC) version of EOS using PancakeSwap, rather than acquiring the mainnet version.
The recent change means the fund may need to take extra steps to swap or migrate to the new Vaulta asset post-rebrand.
The choice to use a decentralized exchange (DEX) reflects growing flexibility in WLFI’s trading strategy, even as it navigates shifting token identities and multi-chain environments.
Portfolio Remains Active and Diversified Despite Downturn
With the latest EOS purchase, the total value of the WLFI portfolio has expanded to approximately $106 million in actively traded and swapped assets, despite the broader unrealized losses.
The recent development suggests ongoing activity and rebalancing within the fund as it adapts to evolving market conditions.
While the recent downturn highlights the risk of exposure to volatile assets like ETH and AVAX, WLFI’s continued engagement in strategic acquisitions points to a patient, long-term outlook.
Whether this strategy yields recovery or further losses remains to be seen, but the Trump-affiliated fund is clearly committed to staying active and relevant in the crypto investment landscape.
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