Donald Trump’s crypto project, World Liberty Financial (WLF), has submitted a proposal to the Aave governance forum. The former president and his business partners plan to use the platform for their cryptocurrency offering.

The submission aims to establish WLF’s services as an instance on Aave, with the protocol providing the necessary underlying infrastructure. In return, AaveDAO will receive 20% of all protocol fees generated by WLF and 7% of the supply of WLFI, the project’s governance token.

WLFI Tokens Will Be Earned as Rewards

Additionally, the new proposal states that users will earn the WLFI tokens as rewards for participating in World Liberty liquidity pools. However, questions still remain about how AaveDAO will manage the custody of WLFI tokens and distribute them since the Trump project had labeled them as non-transferable.

Initially, WLF plans to accept deposits in Ethereum (ETH), Wrapped Bitcoin (WBTC), and the two leading stablecoins, USDC and USDT, allowing users to leverage these assets as collateral for borrowing. Revenue sharing will be conducted through a trustless smart contract.

This initiative reportedly offers several advantages for Aave: It aims to provide stablecoin liquidity for ETH and WBTC, attract first-time DeFi users to the platform, and create brand loyalty among participants.

In the future, the project plans to onboard additional assets that are not currently compatible with Ethereum’s primary market by capitalizing on connections to traditional finance and institutional investments.

AaveDAO, WLFI Token Holders to Participate in Vote

Last month, Trump and several of his associates, including his sons Eric and Don Jr. and billionaire Steve Witkoff, announced World Liberty. The team has positioned the