WLFI Dips 14% as 62 Billion Unlock Vote Sparks Market Controversy

• WLFI fell 14% after the proposal introduced 62 billion tokens under new vesting schedules.

• Community backlash grew despite strong governance approval and near-unanimous voting results.

• Investors fear long-term supply impact, driving sharp decline from recent price levels.

World Liberty Financial faces heavy market pressure after a major governance proposal triggered panic among traders and investors. WLFI dropped sharply as voting opened on a plan involving more than 62 billion tokens. The shift toward long-term vesting schedules raised questions across the community. While governance participation remains strong, sentiment turned negative quickly. Price action reflects uncertainty as traders reassess risk tied to future token supply changes.

Token unlock proposal is now live for vote. ☝️ This is one of the most significant governance proposals in WLFI history. Here’s what’s at stake.

— WLFI (@worldlibertyfi) April 29, 2026

Massive Unlock Proposal Shakes Market Confidence

WLFI slid nearly 14% as voting began on a proposal submitted earlier in April. The plan introduces multi-year vesting schedules covering over 62 billion tokens. Voting officially started midweek and runs until May 7. A quorum of 1 billion tokens is required, and that threshold has already been met. Support appears overwhelming on-chain. Nearly all votes lean in favor of the proposal.

About 6 billion tokens voted yes, while only 3.2 million opposed. Despite this strong approval, market reaction tells a different story. Traders focused more on supply implications than governance numbers. Price dropped from $0.073 to $0.064 during the voting window. WLFI previously reached $0.33 at peak levels. That places the token down nearly 73% from all-time highs.

The sharp decline shows how sensitive market sentiment remains to supply-related decisions. The proposal allocates roughly 45 billion tokens for founders, advisors, and early partners. These tokens follow a two-year cliff and three-year vesting schedule. Another 17 billion tokens tied to early supporters follow a similar structure with a shorter vesting period.

Community Reaction Turns Highly Divided

Despite strong voting support, community sentiment on social platforms turned sharply negative. Many early participants expressed frustration with the revised unlock structure. Several investors described long waiting periods already stretching beyond a year. Criticism intensified as prominent voices entered the discussion. Moonrock Capital founder Simon Dedic compared the proposal to a rug pull.

He questioned timing and alignment with political cycles tied to Donald Trump’s presidential term. Tron founder Justin Sun also criticized the proposal. Sun labeled the structure one of the most unusual governance decisions seen in crypto. Legal tensions between Sun and World Liberty added further complexity after tokens were frozen and voting rights restricted. A possible token burn mechanism adds another layer to the debate.

If approved, around 10% of allocated tokens may be permanently removed. That represents roughly 4.5 billion tokens. Project leadership argues the structure improves transparency and replaces indefinite lockups with defined schedules. World Liberty Financial states that the updated vesting model protects committed holders. Tokens not accepting new terms may remain locked indefinitely.