TLDR:
- Market: World Liberty Financial ($WLFI) trades at $0.2092, with ALT5 Sigma holding $1.5B in tokens (up $200M since $0.18 purchase), but the firm’s stock and WLFI face scrutiny post-board changes.
- Narrative: Eric Trump, Trump’s second son, was removed from ALT5 Sigma’s board—WLFI’s treasury company—after Nasdaq discussions to comply with listing rules. Now an observer, he’s replaced by WLFI co-founder Zak Folkman as director, pending shareholder approval, raising questions about regulatory hurdles in Trump-linked crypto ventures.
On September 10, 2025, Eric Trump was removed from the board of directors at ALT5 Sigma Corporation, the treasury company for Trump-affiliated World Liberty Financial (WLFI). The change, disclosed in a U.S. Securities and Exchange Commission (SEC) filing, stems from discussions with Nasdaq to comply with its listing rules. Eric Trump will now serve as a board observer, while WLFI co-founder Zak Folkman will take the director role, subject to shareholder approval.
ALT5 Sigma, a publicly traded fintech (ALTS) on the Nasdaq concentrating on crypto treasury products, made a $1.5 billion investment in August 2025 to buy WLFI tokens, establishing itself as a key holder with 7.5% of the supply purchased at $0.18 per token—now $1.5B in assets with a $200M unrealized profit at prevailing prices. Previously called the biotechnology company JanOne, the company changed names in mid-2024 in a shift toward digital assets. Eric Trump’s proposed directorship was included in the WLFI partnership, but the intervention of Nasdaq overturned it without mention of the rule, perhaps board independence requirements, although no clear correlate exists, according to legal experts.
No replies were received from ALT5 Sigma, WLFI, Eric Trump, or Nasdaq. Notably, ALT5 Sigma’s site still lists Eric Trump as a director for leadership and investor relations webpages in spite of the SEC filing. This update occurs amidst stepped-up scrutiny of the crypto ties of the Trump family: a Trump LLC holds 38% of WLFI and 22.5B tokens and is hence eligible for 75% of sales from token sales. WLFI was rolled out in September 2024 as a DeFi platform “inspired by Donald J. Trump’s vision” and began trading $WLFI on September 1, 2025, having previously had private sales at $0.015 and $0.05.
The demotion raises regulatory issues for high-profile individuals in crypto public companies, particularly with ALT5 Sigma’s WLFI Treasury Strategy generating headlines. Investors must monitor shareholder votes and WLFI governance announcements for any updates, as Nasdaq compliance may affect token price and treasury functions amidst ongoing legal debates surrounding the involvement of the Trump family.
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