World LibertyFi Community Approves 100% Treasury Liquidity Fee Buyback and Burn

World LibertyFi (WLFI) confirmed that its community voted to direct 100% of Treasury Liquidity Fees into a buyback-and-burn program. The proposal, introduced on September 12, received near-unanimous support and applies to WLFI’s protocol-owned liquidity (POL) across Ethereum (ETH), BNB Chain (BNB), and Solana (SOL).

The proposal voting results are as follows:

  • Votes in Favor: 4.4 billion (99.84%)
  • Votes Against: 0.06%
  • Quorum Reached: 443% of the required threshold

The plan means that all fees generated from these WLFI-controlled pools will be used to purchase WLFI tokens from the open market and permanently remove them from circulation. The initiative excludes fees from community or third-party liquidity providers.

The measure is now set to be implemented this week, with all buyback-and-burn transactions to be published on-chain for transparency.

How the Buyback-and-Burn Works

The buyback-and-burn mechanism channels Treasury Liquidity Fees directly into reducing circulating supply. Its main features are:

  • Fee Collection: Fees are gathered from WLFI-controlled liquidity pools on Ethereum, BNB Chain, and Solana.
  • Open-Market Buybacks: Collected fees are used to purchase WLFI tokens from the open market.
  • Permanent Burns: Purchased tokens are sent to a burn address, permanently removing them from supply.
  • On-Chain Transparency: All actions are recorded on-chain for community verification.

By focusing only on POL, the program ensures community or third-party pools remain unaffected.

Rationale Behind the Proposal

WLFI’s team highlighted that the initiative directly connects protocol activity with token value. The main objectives include:

  • Supply Reduction: Continuous burns ensure the supply shrinks in direct proportion to trading activity.
  • Holder Alignment: Long-term holders benefit as passive tokens are permanently removed.
  • Activity Incentives: More trades generate more fees, resulting in more frequent burns.
  • Accountability: Every step of the process remains visible on-chain.

Community discussions had weighed alternatives, including splitting fees between operations and the Treasury. In the end, the community favored a full burn model, prioritizing measurable supply reduction.

Technical Implications

Rolling out the proposal involves several technical and operational considerations:

  • Multi-Chain Execution: The buyback-and-burn will function across Ethereum, BNB Chain, and Solana.
  • Manual Implementation: Transactions will be executed manually by the WLFI team to retain control while maintaining on-chain proof.
  • Liquidity Protections: Only POL-generated fees will be used, leaving community and third-party pools untouched.
  • Future Expansion: This initiative may expand to other WLFI revenue streams, depending on community input.

The approach aligns with wider trends in tokenomics, where deflationary mechanics and protocol-owned liquidity are increasingly seen as tools for sustainable design.

Debit Card and Retail App Plans

The announcement follows news that WLFI is preparing to launch a debit card linked to Apple Pay and a retail app for peer-to-peer payments and trading.

Co-founder Zak Folkman confirmed the plans at Korea Blockchain Week 2025, describing the retail app as “like Venmo meets Robinhood.”

Key features include:

  • Debit Card: Apple Pay integration with WLFI’s USD1 stablecoin for everyday purchases.
  • Retail App: Combines peer-to-peer payments, trading tools, and USD1 integration.
  • Chain-Agnostic Strategy: No plans to launch a proprietary blockchain, maintaining interoperability with Ethereum, BNB Chain, Solana, and others.

WLFI launched in September 2024 with two core tokens:

  • WLFI: The project’s native cryptocurrency.
  • USD1**:** A stablecoin designed to bridge traditional finance and crypto.

WLFI’s token has seen volatility since its debut. The token is down 15% in 30 days, according to CoinMarketCap.

The buyback-and-burn initiative introduces a deflationary mechanism at a time when market conditions remain challenging.

Conclusion

The World LibertyFi community’s approval to use 100% of Treasury Liquidity Fees for buyback and burn marks a clear alignment between protocol activity and tokenomics. By focusing on supply reduction, transparency, and multi-chain integration, the initiative sets a technical foundation for WLFI’s next phase.

While its impact on long-term value remains uncertain, the decision ensures that community-controlled governance continues to shape WLFI’s development in measurable and verifiable ways.

Resources:

  1. World LibertyFi X platform:
  2. World Liberty Financial recent proposal:
  3. $WLFI Token Details:
  4. World Liberty Financial to launch debit card ‘very soon,’ co-founder Zak Folkman says - report by The Block:
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