Original | Odaily Planet Daily ( @OdailyChina )
Author | Fu Howe ( @vincent 31515173 )
Recently, US presidential candidate Trump led the core team of World Liberty Financial to conduct an interview with Rug Radio founder Farokh on the X platform. Just one day before the live broadcast, Trump had just experienced his second shooting.
During this live broadcast, Trump elaborated on his views on the crypto industry, the U.S. SECs hatred of the crypto industry, his policies toward the crypto industry after his election, and NFT and other related angles.
After Trump finished the interview, his good friend Steve Witkoff also expressed his views on the crypto industry and World Liberty Financial, followed by core members of World Liberty Financial. Finally, Zak Folkman, the operations director of World Liberty Financial, officially disclosed relevant information about the project.
Trump’s core views on the crypto industry
The United States should become the capital of crypto: Trump believes that the United States should move quickly to become the global leader in cryptocurrencies. If the United States does not take the initiative, countries such as China will take the lead.
The current regulatory environment is hostile: He criticized the Securities and Exchange Commission (SEC) for its hostile attitude toward the cryptocurrency industry and believed that the Biden administration lacked support for the crypto industry. If the crypto industry does not receive a proper regulatory framework, the United States innovation will lag behind other countries.
Legal framework to support the crypto industry: Trump said the United States needs to establish a clear legal framework for the crypto industry to ensure that businesses can develop in the country. He mentioned that the current operating environment for crypto entrepreneurs in the United States is full of uncertainty, and many entrepreneurs have to leave the United States.
Widespread use of crypto payments: He noted that more and more people are now using cryptocurrencies for payments, a trend that was barely noticeable in the past few years. He believes that cryptocurrencies will continue to grow in the future and could become a major payment method.
Inspiration from NFT experience: Trump was surprised by the great success of his NFT series, and through this experience he began to re-examine the potential of cryptocurrencies. He mentioned that most NFT buyers use cryptocurrencies to pay, which gave him a new understanding of crypto payments.
Competition in future technologies: Trump believes that the United States must maintain its leading position in future technologies such as cryptocurrency and artificial intelligence (AI), otherwise it will be surpassed by other countries. He stressed that these technologies will become key areas of global competition.
Core Views on World Liberty Financial Tokens
Token Plan:
World Liberty Financial will issue the governance token WLFI, which will be used exclusively for platform governance.
The token only provides voting and proposal rights, does not have any economic rights, and is not transferable.
Eligibility:
The sale of WLFI tokens will be restricted to U.S. investors who are accredited investors (in compliance with Regulation D).
Non-U.S. sales will also be subject to relevant legal regulations.
Token distribution method:
63% of tokens will be sold publicly, with no pre-sale or early-stage discounts for VCs.
17% is used for user rewards, and 20% is reserved for team salaries.
Voting power is capped at 5% to ensure fair governance.
Authors subjective opinion: After watching the live broadcast, the author believes that this live broadcast is more like Trumps speech to crypto voters. It can be seen that Trump does not understand the native crypto industry in essence, but rather interprets the crypto industry from a macro perspective at the national level. However, it can be seen that he recognizes the crypto industry.
Judging from the responses of other core members of World Liberty Financial, the target audience of this project is not the current investors in Web3, but more to encourage new users to join. Moreover, most of the content they said was too macro and inflammatory. I did not see any truly feasible project introduction.
Finally, after operations director Zak Folkman announced its token economics, except for the difference in token distribution and the previous disclosure by CoinDesk, the rest of the content is basically the same. The tokens are no longer transferable and only have governance functions.
The following are selected live broadcast dialogues, compiled and edited by Odaily Planet Daily.
Trumps views on the crypto industry
Farokh: You once said that the United States should be the global crypto capital. Why isn’t it now?
Trump: I think the United States will soon become the capital of crypto. Right now, the SEC is very hostile to the cryptocurrency industry, which is hard to understand, but it has to do with the current Biden administration. Their hostility is even unbelievable. I have a different attitude. I think if the United States does not take action, China will take the lead. In fact, China is already doing this. Although the cryptocurrency industry has some problems, such as credibility issues, it is still very young and developing rapidly. If we dont take action, other countries will take the lead.
My children are very knowledgeable about cryptocurrencies, especially Barron, who has four crypto wallets. Eric and Barron are also doing well in this area. Young people often understand these technologies better than older people. I respect their judgment. Although cryptocurrencies are still in their infancy, they have great prospects. I have noticed that more and more people are using cryptocurrencies for payment, which was a rare phenomenon a year or two ago. So I believe that cryptocurrencies will become bigger in the future.
Farokh: Why is it so important for the U.S. to take the lead in cryptocurrency adoption and innovation?
Trump: Whether its cryptocurrency or artificial intelligence (AI), these are important technologies of the future. If the United States does not act quickly, other countries will surpass us. China is already building power facilities specifically for AI services, while in the United States, due to environmental regulations, it takes a long time to build power infrastructure. I will create conditions to speed up infrastructure construction and ensure that the United States takes the lead in technologies such as AI and cryptocurrency.
The United States must remain a leader in all critical areas, especially in technology areas such as cryptocurrency and AI. Just like space exploration, the United States has once again become a global leader during my administration, and Musk has also made outstanding achievements in this area. He is my friend and has firmly supported me.
Farokh: Do you think the U.S. should establish a legal framework for the crypto industry so that businesses can thrive here?
Trump: Yes, I think it is very necessary. The crypto industry needs a clear legal framework to safeguard its development. Of course, there must be some necessary regulatory measures. I have communicated with many heads of crypto companies, and they also expressed their hope for reasonable regulation. At present, the SECs suppression of the crypto industry is incomprehensible. Since I became interested in cryptocurrencies and participated in them, I found that the SECs attitude has changed slightly. They seem to see the potential of the crypto industry, or it may be because they feel that my participation has political influence.
But if we don’t win the election, the SEC could return to its hostile attitude and crack down on the crypto industry again. So we must keep moving forward in the future of technology, including cryptocurrencies and AI, to ensure that the United States remains a global leader.
Farokh: Can you talk about your success in the NFT space? Did it come as a surprise to you?
Trump: When I entered the NFT market, the craze had passed and many people thought the market for NFTs had cooled. But we launched 45,000 NFTs, and thought it might take months or even a year to sell out, but they were all sold out almost the same day. Then we launched the second, third, and fourth batches, and each time was a huge success. I even asked some early buyers whether they were worried that subsequent issuance would dilute the value of their NFTs, but most people expressed support and hoped that we would continue to launch new series, which surprised me.
This experience made me realize the huge potential of cryptocurrency in payment. The vast majority of buyers paid by cryptocurrency instead of traditional US dollar checks, which gave me a deeper understanding of crypto payments. This was also the opportunity for me to really start to be interested in cryptocurrency. Although I didnt pay much attention to it at the beginning, through the success of NFT, I saw the practical application and potential of cryptocurrency.
Farokh: Have NFTs changed your perspective on digital assets?
Trump: Yes, the success of NFT has given me a whole new perspective on cryptocurrency. If I had only used U.S. dollars to pay, I might not have reacted much, but seeing that almost all transactions were done in cryptocurrency really opened my eyes. At the same time, my children are passionate about cryptocurrency, and their deep understanding of the industry has also had an impact on me. I realized that this is not just a game for young people, and many of my friends are also firm supporters of cryptocurrency, which further strengthened my interest and confidence in this industry.
Renowned real estate developer Steve Witkoff talks about the origin and potential of the WLFI partnership
Farokh: How did this collaboration come about? I know there’s a fascinating story behind it, can you walk us through it?
Steve Witkoff: My son introduced me to two partners, Chase Hero and Zach Folkman, who were very smart. These young men dressed a little different from us, probably with more tattoos. Through Chase and Zach, I met traders from all over the world. These people were as smart as any currency traders I had met, and they began to tell me about the concept of decentralized finance, frictionless finance, and explained why this approach would benefit the masses, especially those who were ignored in the traditional financial system. The driving force of the US economy is credit, and many people do not have access to credit resources.
When I gradually understood this, I thought no one could understand this issue better than the Trump family. So we first talked with Eric Trump Jr. and President Trump and his advisory team, and we decided to move forward with this together. We spent nearly 9 months doing very in-depth due diligence and hired an excellent team of lawyers to help us operate legally in this field. Now, we are standing at this important node today, which is the result of our years of hard work.
Farokh: Do you think this can really change the way wealth is created in the United States?
Farokh: I believe decentralized finance is the future. If you consider that to borrow money today, you almost need to be “ennobled” and be part of a privileged class. I remember when I left the law profession, I represented the president, but even then, it was very difficult to enter the business world and get credit. Credit is at the core of what drives our economy, and cryptocurrencies make that possible. Decentralized finance, as an application of cryptocurrencies, also makes it easier to get credit.
We see a huge market opportunity, especially for people who are excluded from the traditional banking system. They cant find banks to serve them, listen to them, and support them. We see this as a business opportunity, but also as a way to democratize credit. We can make this process more equal, and potentially make a good financial return in this space because there are a large number of people who cant get credit in the current system. Its unfortunate that young people have great ideas, but they cant turn those ideas into reality, which is the opposite of the American dream.
Chase Herro, Head of Digital and Strategy, talks about the vision and future impact of WIFI
Farokh: I wanted to ask what the overall vision of the project is?
Chase Herro: Thats a very ambitious goal. The biggest thing Im focused on is liquidity. Weve somewhat confused the concept of Bitcoin, Ethereum and other tokens, while they are all great assets, I think the game is actually very simple. People understand the dollar, understand accounts, and understand the simplicity of them.
So I started looking into stablecoins and I really liked the idea behind it. To me, stablecoins are the easiest way to get new people who are not familiar with speculation into this space. Just like a gym membership, once you go from free to paid, you will be more engaged. So, by getting people into this space with $5, I hope to push them to get more exposure to this environment. And in the process, the real magic will happen. If you are not familiar with stablecoins, they are a very amazing asset, and they are backed by the purchase of US Treasuries. I think this is a great way to keep the United States as the global financial foundation for the next hundred years.
We can see from history that a strong America means a strong world. Today, the status of the global financial infrastructure is challenged, and the uncertainty of the future makes us value the current dollar more. Now, the largest cryptocurrency trading medium is still the stablecoin anchored by the US dollar. My goal is to provide people with financial freedom, ensure the sovereignty of the US economy, and give individuals control over their assets. Think about it, when have you ever heard of ordinary people being able to buy treasury bonds or bonds?
Farokh: How do you think this project will reshape the financial landscape in the coming years?
Chase Herro: Its all about accessibility. The goal of any large project is to make it easy for the user to use and enjoy it. I think thats what we need to strive for, and thats what I like about the Trumps, theyve been committed to comfort and ease of use from beginning to end. Theyve done an impeccable job in that regard.
Our goal is to keep working to make sure we can create a system that makes it easy for the average American and global user to enter this space and get opportunities that would otherwise be out of their reach. The technology is very advanced in this regard, but its also very complex. In the early stages, we often worked with my mother, grandmother, and sisters to try to enter this space. We even offered them a $10,000 reward for successfully signing up for a MetaMask account. If they needed help along the way, the reward would be reduced. You quickly found that many people had difficulties in the early stages.
Thats the key to the future: getting the average American into this space and using it and experiencing the freedom that it brings. Thats one of the coolest things about it - your bank is with you, and your money is in your pocket wherever you are. That experience of being able to control your finances anytime, anywhere is revolutionary.
At the same time, this will be the most difficult intersection to achieve, so the simplest way is needed to attract the widest range of users. I have never seen anyone in my life who can make complex issues as simple as the Trump family. I really believe that the combination of these two factors will win the opportunity for sovereign freedom for the American people.
This is going to completely change the status quo because the average person has never had the opportunity to earn a yield on $1. If you put your dollars into a stablecoin and put it on the chain, you will make money immediately, and it is backed by the national debt. So we have to ask ourselves, why should this opportunity be excluded from the masses? Sometimes I feel that some people are doing this on purpose, and they want to prevent this from happening. There are a lot of very powerful people who may not want this to happen because it will reduce their power and resource efficiency. In the 2008 financial crisis, some people still bought luxury homes, while many people lost their retirement savings.
Farokh: What do you hope to achieve with this project?
Chase Herro: Zac is always more pragmatic, and I am always more ambitious. My goal is to unshackle us from debt and restructure Americas debt, which is good for both crypto and America. Whoever holds the debt holds the power. So as interest rates start to fall, money will leave the original investment destination, and we want to create a product that can reasonably attract this money. My goal is to prioritize the interests of the United States, and to this end we will build a product to achieve this goal.
Additionally, our overall goal is to illuminate the future of the entire crypto community. There is a lot of tribalism in the crypto space, with people having different opinions on Layer 2 solutions or which token is the best. Our goal is to showcase everything that crypto and DeFi have to offer, whether its decentralized media platforms like Rug Radio or decentralized lending platforms like Aave, we want to introduce these tools and innovations to the general public.
Zak Folkman, Head of Operations: Simplifying DeFi’s Future Goals and Usability Challenges
Farokh: How does World Liberty Financial solve the usability challenge? Who do you plan to bring into the DeFi ecosystem through this platform?
Zak Folkman: First of all, the usability of DeFi is indeed a big challenge. Many DeFi protocols, such as some of our favorite platforms, although they are very powerful, it is difficult for ordinary users to understand and use them.
I have a lot of friends who are tech-savvy and have dabbled in cryptocurrencies like Bitcoin and Ethereum, but most of them keep their assets in exchange accounts like Coinbase and don’t take advantage of the potential of DeFi at all. They don’t even know there are other things they can do besides speculating on assets. Stablecoins are the best tool to help these users move away from pure speculation, as Chase mentioned, they provide stable returns and are pegged to the US dollar, eliminating most of the volatility.
For us, the opportunity lies in showing these users who own assets like Bitcoin and Ethereum that they can not only hold these assets, but also participate in the DeFi ecosystem through a simple, easy-to-use product.
I know there are over 70,000 people still following this project, and they are our true DeFi and crypto community members. For these users, entering a DeFi platform often feels complicated. You open the app, there may be no clear guidance, or you may be faced with various markets and staking opportunities and don’t know how to choose, and you may end up giving up.
For example, Eric was discussing with us how to recycle Ethereum on the Aave platform, but he gave up after trying for a while because the process was too complicated and frustrating even though he was technically strong. This is the problem - DeFi lacks usability, and if we want to achieve large-scale mainstream adoption and liquidity to flow into the market, we must develop easy-to-use products that can be used seamlessly by ordinary users.
Farokh: How does World Liberty Financial plan to achieve these goals?
Zak Folkman: Our goal is not to rebuild the flywheel, but to bring the best of DeFi to ordinary users who have not yet participated in DeFi platforms. We want to build simple, intuitive, and easy-to-use products that do not require asking friends for instructions.
With this simple product, we hope to bring more people into DeFi and help them earn yield through stablecoins instead of taking the high risk of speculating on the next meme coin.
In addition, we also plan to help users unlock liquidity in their existing assets, such as Ethereum or other crypto assets. This is how we achieve our goal: to make it easy for ordinary users to enter the DeFi world through a stable income mechanism and simple product design.
Corey Caplan, WLFI Consultant: Security Architecture Outlook
Farokh: Given the high profile and expectations of this project, how do you ensure its robustness and reliability in terms of security and architecture? It is very important for the crypto community to understand how to ensure the security of this platform.
Corey Caplan: Security is an ongoing process, not something that can be achieved overnight. I view security as a journey. We thought some systems were secure in the early days of cryptocurrency and open finance, but over time, things have changed. Therefore, we must remain flexible, learn all the time, and adapt to emerging security methods, and never stick to existing security models. Our team must always keep an open mind and accept new technologies and methods to ensure the security and robustness of the project.
World Liberty Financial: Tokens and Crypto Community Feedback
Farokh: What is the token plan related to World Liberty Financial ?
Zak Folkman: This question is probably one of the most anticipated, there is a lot of discussion about tokens. Ive seen some wild predictions and a lot of people speculating. Now let me officially answer this question: Yes, we will have a token. To answer this question, I have prepared a statement to give you a little background and make sure everyone is clear about what this token means.
At World Liberty Financial, we believe that the future direction of the platform, and the entire decentralized finance (DeFi) space, requires broad participation. We believe that governance tokens are the best way to achieve this goal. Therefore, we plan to issue and distribute a governance token called WLFI in the future. The WLFI token is limited to governance purposes only, and it only gives holders the right to propose and vote on matters related to the platform. WLFI tokens will not be transferable and will not provide any economic rights such as dividends or distributions. We only want people who are truly involved in the direction of World Liberty Financials governance to buy this token, not those who are just speculating for profit.
Please keep in mind that while we are sharing these plans now, this does not constitute an offer to sell any tokens. Any sale will be formally announced in the future through our official channels.
Farokh: Who can buy the tokens?
Zak Folkman: That’s a good question. While we do not believe that WLFI tokens are securities, due to the current regulatory uncertainty regarding tokens and token sales in the United States, we have decided to proceed with caution and limit the token sale to qualified investors only under exemptions from the U.S. federal securities laws.
This means that U.S. persons can only participate if they have been reasonably verified as accredited investors (in compliance with Regulation D). Potential token sales to non-U.S. persons will also be restricted to non-U.S. persons and will comply with applicable regulations.
Farokh: How will the tokens be distributed?
Zak Folkman: As I mentioned before, there are a lot of scams in the crypto world and people have to be careful of projects claiming to be related to World Liberty Financial. If the information does not come from our official channels (Twitter, Telegram or official website), then it is fake.
A lot of the previous reports about how the tokens will be distributed are wrong. Here’s how it will actually be distributed: Like other DeFi projects, we will have a very fair token distribution. About 63% of the tokens will be sold to the public, there will be no pre-sale or early discounts for VCs to buy in, and the first sale will be direct to the public. 17% of the tokens will be used for user rewards, and 20% will be used for team compensation (including advisors and future employees). To ensure broad participation, we will cap voting rights at 5%, so even if someone holds a large number of tokens, their voting rights will not exceed 5%.
Farokh: What has been the feedback from the crypto community on this project?
Zak Folkman: As with any project, some people will support you, some will be jealous of you, and some will disagree with your ideas, and thats normal. For me, the most incredible thing is to see the support of our community leaders, the real pioneers in the crypto field. We have announced many advisors, such as Corey Caplan, Sandy Pang, Luke, Raphael, etc.
We also have many big names who quietly support the project, but keep a low profile because they have their own investors to balance. If I could tell you who these people are, you would be shocked. These people have great faith in the potential of the crypto community and World Liberty Financial.
