South Korea’s major crypto exchange Bithumb has struck a partnership with World Liberty Financial (WLFI), the Trump-family-backed DeFi platform, in what its CEO says will improve global competitiveness, even as WLFI’s token sees sharp short-term declines.
Key Takeaways
- The collaboration, formally acknowledged in an MOU, will allow WLFI to be listed in the KRW (South Korean won) market on Bithumb, giving local investors direct access.
- WLFI has passed a governance vote to use 100% of its liquidity-fee revenues for buybacks and token burns, aiming to counter downward price pressure.
Bithumb, one of South Korea’s biggest cryptocurrency exchanges, has formally entered into a memorandum of understanding with World Liberty Financial (WLFI), the project backed by former U.S. President Donald Trump and his family. The move will allow WLFI to be traded in KRW on Bithumb, opening direct access for South Korean retail and institutional investors.
This collaboration with WLF will be an important milestone in enhancing Bithumb’s global competitiveness.” Bithumb CEO Lee Jae-won noted, adding “We will continue to strengthen our strategic network.
Governance Vote Paves Way for Buybacks and Burns
In parallel, WLFI’s governance has passed a proposal (with near-unanimous support) to channel all liquidity-fee income toward buybacks and burns of WLFI tokens, according to a Cointelegraph’s report last week, September 19. The purpose is to reduce token supply and shore up long-term value for holders.
This program removes tokens from circulation held by participants not committed to WLFI’s long-term growth and direction, effectively increasing relative weight for committed long-term holders, as stated in the governance proposal.
WLFI governance proposal overwhelmingly passes, approving 100% of treasury liquidity fees for buybacks and burns. Source: WorldLibertyFinancial.com
WLFI Faces Price Pressure Despite News
As of this writing (10:30AM UTC), TradingView’s real-time market data shows WLFI is trading at approximately $0.2054, dropping 2.6% over the past 24 hours with intraday range spanning between $0.1948 and $0.2163.
In South Korean won, the token is trading at approximately ₩284.67 per WLFI, down about 11.7% in the same period. The Relative Strength Index over 14 days (RSI-14) is around 53, indicating neutral to mild bearish sentiment, with short-term frames showing oversold pressure.
Analysts Warn of Volatility Ahead
Analysts note the Bithumb listing could increase liquidity and local-market participation, usually seen as bullish. But countervailing pressures include recent token unlocks, market volatility, and political/regulatory risk tied to the Trump family’s involvement. The buyback & burn mechanism is seen as positive, but effectiveness depends on volume and actual fee generation. Some experts predict WLFI may test resistance near $0.235-$0.25, while failure to hold support around $0.19 could trigger further downside.
Outlook
The Bithumb-WLFI partnership is a key step in expanding WLFI’s DeFi presence, offering South Korean investors direct access to the token. Despite this, WLFI faces short-term price pressure, and its recovery will depend on the buyback and burn program, market sentiment, and regulatory developments. The coming weeks will show whether the collaboration drives adoption or if volatility persists.
Summary
Bithumb has partnered with Trump-backed WLFI to list the token in South Korea’s KRW market, granting investors direct access. WLFI governance has approved using 100% of liquidity-fee revenues for buybacks and burns, aiming to stabilize value. Despite the news, WLFI trades near $0.20 and faces short-term bearish pressure. Analysts highlight both opportunities (liquidity and adoption) and risks (volatility, politics, regulation).
