todayonchain.com

World Liberty Financial proposes new staking-focused governance system for WLFI holders

The Block
World Liberty Financial proposed a new governance system requiring WLFI holders to stake tokens for voting rights and offering tiered incentives.

Summary

World Liberty Financial (WLFI), a crypto project linked to the Trump family, has introduced a governance proposal mandating that holders stake their unlocked WLFI tokens for a minimum of 180 days to gain voting rights, aiming to increase community participation and reward long-term holders. Voting power will use a square-root weighting model based on staked amount and remaining lock-up duration. Stakers participating in two votes earn a base reward with a 2% annualized yield from the treasury. The system also establishes tiers: 'Nodes' staking 10 million WLFI gain access to convert stablecoins to USD1 at a 1:1 rate, while 'Super Nodes' staking over 50 million WLFI receive priority partnership opportunities. This structure is intended to redirect arbitrage profits from market makers to long-term token holders. The proposal requires a quorum of 1 billion eligible tokens and a simple majority to pass. This follows recent market volatility experienced by the project's USD1 stablecoin.

(Source:The Block)