Trump-linked World Liberty Financial sold $5M in WBTC via DeFi as WLFI fell nearly 14%, with on-chain data from Lookonchain and TradingView.
A Trump-linked crypto project has sold wrapped Bitcoin worth about $5 million through decentralized finance platforms.
On-chain data shows the transaction involved several protocols and coincided with market weakness. The move has drawn attention due to its timing and the project’s regulatory exposure.
On-Chain Data Shows $5M WBTC Sale
Blockchain analytics platform Lookonchain reported that World Liberty Financial sold 73 WBTC.
The sale was valued at about $5.04 million and executed near a Bitcoin price of $69,000. The WBTC was swapped for USDC using decentralized liquidity routes.
According to Arkham Intelligence data, the tokens were sold through CoW Protocol. The transaction also involved Aave on Ethereum for liquidity access.
These platforms are commonly used for large trades that seek efficient settlement.
Arkham data shows that World Liberty Financial previously received the WBTC from Aave. After the swap, the firm converted the assets into stablecoins.
The project still holds 267 WBTC, valued near $18 million at current prices.
No official statement was released by the project explaining the sale. The absence of public clarification has led to increased monitoring of related wallets.
Analysts continue to track further movements on-chain.
DeFi Protocols Used for Liquidity and Settlement
The transaction relied on CoW Protocol for execution and routing. CoW Protocol aggregates liquidity across venues and reduces market impact.
This approach is often used for large swaps during volatile periods.
Aave was also part of the transaction flow. The lending protocol provided the WBTC before the sale occurred.
This suggests the assets may have been previously used for borrowing or liquidity purposes.
On-chain records show the transaction followed standard settlement paths. There were no unusual contract interactions reported.
Data indicates the swap was completed without visible disruptions.
Such transactions reflect growing use of DeFi for large asset management. Institutions and large holders increasingly use these platforms.
Transparency allows public tracking of these movements.
WLFI Token Drops After Bitcoin Sale
The sale coincided with a sharp decline in the project’s native token, WLFI. TradingView data shows WLFI dropped nearly 14% during the session.
At the time of writing, the token was trading near $0.115.
WLFI plunges nearly 14% amid heavy selling pressure : Source TradingView.Market data shows the decline occurred alongside elevated selling pressure. While the timing overlapped with the WBTC sale, no direct link has been confirmed.
Broader market weakness was also present during the session.
Trading volume for WLFI rose notably during the price drop. This indicates increased market activity rather than thin liquidity conditions.
The move was accompanied by a wide-range bearish daily candle.
The project has not issued a public statement regarding the price movement. No announcement has addressed the market reaction so far.
Price behavior continues to be closely monitored by market participants.
Related Reading: Congress Opens Probe Into World Liberty Financial
Regulatory Context and Broader Bitcoin Sales
The sale occurred as U.S. lawmakers opened an investigation into World Liberty Financial. The probe focuses on a reported $500 million agreement with the UAE.
Lawmakers are examining potential financial links to Trump-related businesses.
Despite this scrutiny, the Office of the Comptroller of the Currency continues reviewing the firm’s trust bank license application.
The OCC has not announced a decision. The review remains active despite political opposition.
On-chain data also shows other entities selling Bitcoin. Arkham reported that wallets linked to Bhutan transferred $22.4 million in BTC this week.
The platform noted Bhutan often sells BTC in batches near $50 million.
Some of these funds were sent to market maker QCP Capital. This suggests coordinated liquidity management.
These sales indicate that World Liberty Financial was not the only seller during the period.
Source: https://www.livebitcoinnews.com/trump-linked-crypto-project-swaps-5m-in-wbtc-via-defi-protocols/
