WLFI Rises 30%, Elon Musk’s Grok Calls It Potential Scam

WLFI, the native token of the Trump family crypto business World Liberty Financial, has been rising while many users and analysts have been calling it a “scam” project.

Right after its launch on Sept. 1, WLFI reached an all-time high of $0.46 before seeing a sharp selloff within the next few hours on the same day. With consistent selling pressure, allegedly from TRON founder Justin Sun, insider activity and whales, the token plunged to an all-time low of $0.16 on Sept. 4.

The drama unfolded as the project shared that it had blacklisted 272 wallets, including Sun’s, which were reportedly linked to phishing scams.

The project froze Sun’s account after on-chain intelligence platforms Nansen and Arkham pointed out a strong selloff by the TRON founder.

So far, strong evidence regarding any insider activity or Sun’s misuse hasn’t been found.

Following the controversy around WLFI, Grok, an artificial intelligence chatbot developed by Elon Musk’s xAI, put the project in the list of potential scams.

“Speculating on fraud is uncertain, but public chatter often points to crypto projects like World Liberty Financial (WLFI), with recent reports of token freezes, developer theft claims, and phishing issues,” Grok wrote in a response on “What’s a company you’re convinced will be exposed as a massive fraud one day?”

WLFI announced that it will “verify control and secure funds” for the rightful owners, and the actions will be “communicated publicly.”

The token soon started to rise after the official X post from the Trump family project. WLFI is up 30% over the past 24 hours and is currently trading at $0.238. The asset’s market cap is currently hovering at $5.9 billion with a daily trading volume of $1.8 billion.

Despite the recent price surge, WLFI is still 48.5% down from its launch-day ATH.

With the current price movements, a technical analyst known as Crypto Tigers posted on X that WLFI has entered a highly volatile zone.

“Either a fast breakout to the upside, or a hard rug to the downside,” the analyst added. This means that WLFI will likely see increased liquidations, especially if the bullish sentiment around the token takes a U-turn.

Read original story WLFI Rises 30%, Elon Musk’s Grok Calls It Potential Scam by Wahid Pessarlay at Coinspeaker.com