TRON and Movement Labs Deny Token Swap Deal with Trump-Backed WLFI

Key Notes

• TRON and Movement Labs deny having a token swap deal with WLFI.
• The denials come as the crypto industry continues to demand accountability from projects.

Two crypto projects, TRON and Movement Labs, have rejected claims of a secret buy-in agreement with World Liberty Financial (WLFI). Representatives from both protocols saw the need to clear the air.

According to the report by Coinspeaker, WLFI may have put together a token swap arrangement where protocols would buy between $10 million to $15 million worth of WLFI tokens. As payback, WLFI would also buy an equivalent amount of the blockchain’s native token, to be included in its treasury.

No Token Swap Agreement, Says TRON, and Movement Labs

Coincidentally, TRON’s TRX

TRX $0.22

24h volatility: 0.3%

Market cap: $19.14 B

Vol. 24h: $1.88 B

is the second-largest holding in World Liberty Financial’s wallet, according to data from Arkham Intelligence. This has now led to a connection to the earlier reports, suggesting that TRON may have entered an agreement with WLFI.

However, a spokesperson from the company has said that there is no such token swap agreement. Despite the WLFI wallet currently holding 40.7 million TRX worth $9.3 million, the project backed by former US President Donald Trump and his family may have just made the buys from conviction.

Related article: Trump’s Crypto Portfolio Bleeds $75M: Is Worst Over?Similarly, data shows that WLFI bought $2 million worth of Movement Labs’s MOVE token in late January. However, co-founder Rushi Manche has also said that they did not send tokens to WLFI. Manche was quoted by CoinDesk as saying:

“There weren’t any deals — any back door deals. It was purely just market buying.”

Transparency Concerns in the Crypto Industry

The denials from TRON and Movement Labs have been well covered. However, they do not take away the concerns around projects, especially those linked to high-profile figures like Donald Trump. Questions remain about the financial strategies of many of these projects. Then, there are just as much concerns about their partnerships and what these partnerships stand for.

That said, crypto investors will continue to be on the lookout for these undisclosed deals. That is, as the industry continues to push for more accountability on the part of projects so as to build trust.

nextDisclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.