One of the Abu Dhabi royals has acquired a 49% stake in World Liberty Financial for around 500 million. The Satoshi Club and Wall Street Journal report that Eric Trump finalized the deal just days before his father’s inauguration as president.
The deal is associated with the movement of substantial amounts of capital to the organizations connected to the Trump family, which is a huge investment in the decentralized finance protocol.
The previously undisclosed deal also shows that at least 31 million dollars will be paid out to the entities that have an affiliation with the family of Steve Witkoff. Recently, Witkoff, the co-founder of World Liberty Financial, received his appointment as the U.S. representative to the Middle East.
The Architecture of World Liberty Financial
In 2024 World Liberty Financial was established as a decentralized financial protocol created to offer a substitute to regular banking. Co-founders of the venture included Zachary Folkman, Chase Herro, and the Witkoff family members, among other Trump family members.
The protocol is an attempt by the Trump family to use the Ethereum blockchain to lend and borrow money in an on-chain transparent and clear manner as a business venture.
The protocol is the largest entry of the Trump family into the digital asset world to this day. It has tried to entice the attention of the increasingly popular DeFi community by positioning itself as a platform of financial independence.
Geopolitical and Financial Implications
The international influence is questionable due to the fact that the protocol has so many resources, thanks to a senior royal of Abu Dhabi who invested in it, amounting to 500 million dollars.
The transaction is one of the biggest single investments in a family-related crypto project by a foreign sovereign entity. It makes World Liberty Financial an exclusive connector between the Middle Eastern capital and the brand that is linked to the utmost level of U.S. political power.
The presence of Steve Witkoff also brings about a twist to the deal. Being the new American ambassador to the Middle East, Witkoff holds a central stage in the regional diplomatic affairs.
The circulation of a royal payout of Abu Dhabi through a business he helped establish and which is run by the son of the president, generates a web of financial connections that cuts across both the private and the government spheres.
Transparency and Regulatory Scrutiny
As World Liberty Financial expands its operations with this new capital, it is likely to face increased oversight. According to the Trump family, they have always claimed that their business affairs are being operated in isolation, but a half-billion deal in exchange of power is unprecedented.
In the future, the crypto industry will observe that the protocol operates as a decentralized organization while being practically a half-owner of one of the foreign investors. The success of World Liberty Financial now will depend on its ability to overcome the technical challenges of the DeFi market and the political complexity
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