Venture capitalist Nic Carter says he walked away from joining World Liberty Financial (WLFI) after cofounder Steve Witkoff repeatedly mispronounced 'memecoin' as 'me-me' coins and could not explain the project's DeFi product. The project, which counts former President Donald Trump among its backers, aimed to launch before the 2024 election. WLFI disputes Carter's account, stating it never offered him a job.
Why Carter walked away
Carter, a well-known figure in crypto circles, said he warned the project could cost Trump votes. After that, Witkoff's tone hardened. The venture capitalist described the token as having no business behind it. The company's own Gold Paper states the sole utility of the token is governance, with no right to returns or dividends.
Token performance and investor concerns
WLFI's token price dropped 40% on its first day of trading, Sept. 1, 2025, from a record of $0.3313 to near $0.055. Only 20% of each investor's tokens were released on the first day; currently only 31.8% of the total supply trades. An April plan would unlock the remaining tokens starting in 2028, but holders who vote against the plan remain locked. The venture has been lucrative for the Trump family despite the token's poor performance for ordinary holders.
Legal battles and governance issues
Justin Sun, the largest early backer, sued WLFI in California for fraud. The company countersued for defamation in Miami. WLFI also added a contract function allowing it to freeze any wallet, implemented eight days before trading opened. Carter noted the unlock schedule extends past the end of Trump's term, raising questions about long-term governance.
The dispute over Carter's account and the token's future remains unresolved. The April unlock plan vote will test investor confidence.
