Trump's WLFI Team Borrows $150M USDC Against Its Own Token — 97.8% of Dolomite's Cap

On-chain research firm Arkham published the definitive numbers on what Trump's family crypto venture World Liberty Financial (WLFI) is actually doing on the lending protocol Dolomite — and it's worse than the initial $75M figure.

According to Arkham's breakdown:

• The WLFI Team is lending $406.23M of WLFI across 2 wallets
• That's 4.99% of the entire WLFI supply
• And 97.8% of Dolomite's WLFI cap — they are almost the entire market
• They are borrowing $150M USDC (up from $75M) against $400M of their own WLFI

The structure is a masterclass in self-dealing:

1. WLFI created their governance token (and control the supply schedule)
2. They built a lending market on top of Dolomite — a protocol whose co-founder Corey Caplan is a WLFI advisor
3. They supplied 97.8% of the WLFI collateral cap themselves — they own the entire lending market for their own token
4. Ordinary users supplied the real stablecoins (USDC, USD1) into the pool
5. WLFI's own wallets then borrowed $150 million in USDC — Circle-issued, real-dollar-backed money — against their own token
6. Millions moved to Coinbase Prime (a standard cash-out path)

The net effect: Trump's family venture has extracted $150 million in real dollars from ordinary depositors, backed only by a token whose supply, price floor, and liquidity they control. The collateral is effectively worthless in any scenario where they'd need to actually sell it — because the WLFI team is the market. There is no one else to sell to.

The catastrophic risks compound:

• WLFI has limited market depth — the team's own positions dwarf the entire organic market
• If the token price drops, Dolomite's liquidator would try to sell the collateral — but there is no buyer, because the only serious buyer is the team being liquidated
• The forced sale would crash the price to zero before the $150M in borrowed USDC could be recovered
• The protocol would be left holding bad debt that falls on the retail depositors who supplied the USDC in the first place

To summarize: the president's family created a token, built a lending market on an insider's protocol, became 97.8% of their own market, used that dominant position to borrow $150 million in real stablecoins, and sent millions to a cash-out venue. If the token collapses, depositors lose the $150M. If it doesn't collapse, the team walks away with $150M in real money backed by something only they value.

This is the same family that has already earned $320M+ in memecoin fees while 764,000 investors lost $2 billion, accepted a $2 billion UAE investment days before inauguration, and had CZ pardoned after a deal with their crypto company.