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World Liberty Financial denies liquidation risk despite $75M loan against $429M collateral, warns token unlocks may pressure WLFI price.

Market News
10 Apr 2026
AMBCrypto
View Source
Bearish
pluang ai news

World Liberty Financial (WLFI) dismissed concerns about its large borrowing on WLFI Markets, stating it is not near liquidation and can add more collateral if needed. The project borrowed over $75 million USDC against $429 million worth of WLFI tokens, causing high lending rates and liquidity issues on the platform. Critics warn this could lead to bad debt and contagion risks, especially with upcoming token unlocks that might prompt early investors to sell. WLFI plans a vote on a phased token unlock approach amid a recent 15% price drop, but market uncertainty remains high.

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