ALT5 Sigma, which trades on the Nasdaq, announced it will raise $1.5 billion to create a treasury anchored in World Liberty Financial’s WLFI token and bring Eric Trump and WLFI co-founder Zach Witkoff on to its board. The move is several steps ahead of the token’s anticipated market introduction.
Donald Trump Jr., calling it a “true breakthrough” and highlighting the planned integration of WLFI’s stablecoin with ALT5’s treasury strategy.
He emphasized that he and Eric Trump are “fully invested” in driving the initiative forward and expect WLFI to achieve “global governance reach and liquidity” through broad exchange listings.
Established in 2018 with a market capitalization of around $120 million, ALT5 Sigma is involved in crypto payments and fintech and banking infrastructure services.
The firm stated that it wants to buy around 7.5% of the overall token supply of WLFI, becoming a significant holder from day one. World Liberty Financial, family-owned by Donald Trump, had previously this year raised over $500 million in its WLFI token sale.
The project, also with a USD1 stablecoin, has earned community approval to unlock WLFI tokens for early backers, enabling trading on centralized and decentralized platforms.
Following Monday’s announcement, stock in ALT5 Sigma initially surged 6% before pulling back to be 14% lower mid-afternoon.
Such price volatility is standard for publicly listed treasury firms in crypto; earlier this summer, Sharplink Gaming, an ETH co-founder Joe Lubin-backed Ethereum treasury company, saw shares pull back 90% in weeks of its initial public offering.
With the WLFI token on the verge of release, ALT5 Sigma’s risky treasury approach signifies an aggressive bet on the Trumps’ DeFi vision, well in advance of the asset going into trade.
Also Read: Alt5 Sigma Raising $1.5B to Buy Trump-Linked WLFI Token
