Category: Blog-new

Cryptocurrency has always been a landscape of innovation and is now intertwined with politics. World Liberty Financial (WLFI), a decentralised finance project, has gained significant attention due to the endorsement of former U.S. President and 2024 presidential candidate Donald Trump. Backed by Trump and his family members, including Donald Trump Jr., Eric Trump, and Barron Trump, the project aims to strengthen the global standing of U.S.-pegged stablecoins in the DeFi space.

What is World Liberty Financial?

World Liberty Financial is designed to promote the mass adoption of stablecoins and decentralised finance, positioning U.S.-pegged stablecoins as the primary global settlement layer. The project has set its sights on the future dominance of these stablecoins in global finance, mirroring the traditional role of the U.S. dollar. Though still in development, it is expected to launch as an Aave V3 instance, creating a marketplace for borrowing and lending cryptocurrencies using Aave’s infrastructure.

WLFI Token: Governance with a Twist

One of the key features of World Liberty Financial is its governance token, WLFI. Unlike most governance tokens in the DeFi space, WLFI does not carry economic rights, making it non-transferable after purchase. This means that once you buy WLFI, you won’t be able to trade or sell it. The token only provides governance voting rights, allowing holders to participate in decision-making within the platform.

The WLFI token is built on Ethereum (ERC-20) with a total supply of 100 billion tokens, distributed as follows:

• 35% for public sale
• 32.5% for community growth and incentives
• 30% for initial supporters
• 2.5% for advisors and team members

Public Sale and KYC Requirements

The public sale of WLFI tokens started on October 15, 2024, offering 20 billion tokens, which can be purchased using USDC, or ETH. So far, the project has raised approximately $14 million. However, the process comes with strict requirements, including KYC (Know Your Customer) verification, which involves national ID and facial recognition. Interestingly, while the project aims to bolster the U.S. dollar, American citizens are currently barred from participating in the sale.

Trump’s Role and Non-Political Branding

Despite Donald Trump’s and his family’s involvement, the project maintains that it is not politically affiliated. The Trump family serves as advisors to the project rather than board members, and they have been allocated around 22.5 billion WLFI tokens in exchange for their contributions. World Liberty Financial has been clear that its goal is financial, not political, even though it coincides with Trump’s 2024 presidential campaign.

A Bold Step in DeFi with Uncertain Future

World Liberty Financial is making waves due to its unusual approach. Most DeFi projects assure token holders of future economic rights, even if they are deferred. In contrast, WLFI tokens are designed with no financial benefits and remain illiquid, a characteristic that has raised eyebrows in the crypto community. Nonetheless, the project’s bold branding and endorsement by a former U.S. president have drawn attention, and it could become a pivotal point for DeFi as we know it.

As World Liberty Financial continues to develop, its long-term impact on the DeFi landscape remains to be seen. Whether it will successfully reshape the stablecoin market or fall short due to its unique tokenomics is yet to be determined. However, its connection to Donald Trump makes it one of the most talked-about crypto projects in 2024. For those interested in following the latest trends in cryptocurrency, Coinsdrom will keep you updated on this evolving project and its potential implications for both the crypto and financial sectors.

Blockchain is the technology that powers cryptocurrencies like Bitcoin and Ethereum. While it might seem complex at first glance, the basic concepts are quite simple and essential for understanding how cryptocurrencies function. In this guide, we’ll break down the key principles of blockchain, how it works, and why it’s crucial for digital currencies.

What Is a Blockchain?

At its core, a blockchain is a digital ledger that records transactions decentralised and transparently. Unlike traditional databases controlled by a single entity, blockchain is maintained by a distributed network of computers known as nodes. Each node has a copy of the entire blockchain, ensuring the data remains accurate and consistent across the system.

How Blockchain Works

Blockchain operates through the following essential principles:

Blocks and Chains

A blockchain comprises “blocks,” which contain batches of transaction data. Each block is linked to the previous one, forming a “chain” of blocks. This chronological order ensures that no transactions can be altered once they’ve been added to the blockchain, as altering one block would change all the following blocks.

Decentralisation

Unlike traditional systems that rely on a central authority (like banks or governments), blockchain uses a decentralised network. This means that no single entity controls the blockchain. Instead, decisions and updates to the blockchain are agreed upon by most participants (nodes) in the network. This decentralisation is one of the reasons blockchain is trusted for cryptocurrencies, as it makes the system more transparent and resistant to manipulation.

Consensus Mechanisms

Blockchain uses consensus mechanisms to validate transactions. The most common types are Proof of Work (PoW) and Proof of Stake (PoS):

• Proof of Work: In this method, miners compete to solve complex mathematical problems, and the first to solve them gets to add the next block to the chain. Bitcoin uses this system.
• Proof of Stake: Here, validators are chosen based on the amount of cryptocurrency they “stake” or lock up as collateral. This method is less energy-intensive and has been used by newer blockchains like Ethereum since its upgrade.

Transparency

One of blockchain’s most important features is its transparency. Every transaction on a blockchain is recorded on a public ledger, which anyone can view. This transparency allows users to track all network activity, ensuring accountability and trust in the system.

Why Blockchain Is Important for Cryptocurrencies

Blockchain’s unique features make it the perfect technology for digital currencies. Here’s why:

Immutable Record of Transactions

Once a transaction is added to the blockchain, it cannot be altered. This creates a permanent record, ensuring that cryptocurrency ownership is straightforward and cannot be falsified.

No Need for Middlemen

Blockchain enables peer-to-peer transactions, meaning users can send and receive cryptocurrencies without intermediaries like banks. This reduces transaction costs and speeds up the process, especially for international transfers.

Enhanced Transparency

With blockchain, all transactions are visible on the public ledger, creating an open and transparent system. This openness helps build users’ trust and encourages the growth of cryptocurrency ecosystems.

Consensus-Based Validation

Blockchain’s consensus mechanisms ensure that transactions are only added when verified by most participants, reducing the likelihood of invalid or fraudulent transactions.

Blockchain Beyond Cryptocurrencies

While blockchain is best known for supporting cryptocurrencies, its potential applications go far beyond that. From supply chain management to voting systems and digital identity verification, blockchain’s principles of decentralisation and transparency have the power to revolutionise various industries.

Blockchain might seem complex, but understanding its foundational principles—like decentralisation, blocks, and consensus—can provide valuable insights into how cryptocurrencies operate. As the technology continues to evolve, blockchain’s role in shaping the future of digital transactions and beyond will only become more significant.
For those new to the crypto world, grasping the basics of blockchain is the first step toward becoming a more informed participant in this exciting space.

In recent years, cryptocurrency and blockchain technology have transformed from niche concepts into powerful tools, slowly becoming part of our daily lives. From buying goods and services to sending money worldwide in minutes, crypto has moved beyond just a buzzword. It’s a fundamental shift in handling transactions, data, and finance. The question is no longer if crypto will play a role in our future but how soon. That’s why understanding how crypto works is essential for almost everyone.

The Integration of Blockchain in Daily Life

Blockchain technology, the backbone of cryptocurrencies, is entering various industries. From supply chains and healthcare to entertainment and real estate, blockchain’s secure, transparent, and decentralised nature reshapes how we conduct business and interact with systems. Even if you aren’t using crypto for payments today, the systems supporting many online services could soon rely on blockchain.

Governments and global institutions are exploring the adoption of blockchain for identity verification, secure voting, and tax systems. Major companies, from tech giants to local businesses, are accepting cryptocurrencies as payment. With such wide-reaching applications, it’s only a matter of time before understanding crypto becomes as fundamental as knowing how to use a computer or smartphone.

Why Learning Crypto Basics is Essential

Learning the basics of cryptocurrency isn’t just for tech enthusiasts anymore. It’s a skill that can serve you in many unexpected ways.

• Sending and Receiving Crypto: Imagine transferring money to a family member abroad with no middlemen and no delays. Cryptocurrencies allow you to do this with lower fees compared to traditional financial systems and in a fraction of the time.
• Opening a Wallet: A cryptocurrency wallet is essential for securely storing digital assets. Learning how to open a wallet, understand public and private keys, and manage your funds is a simple skill with immense future potential.
• Understanding Transactions: Knowing how to send and receive crypto is essential for personal use and interacting with new digital systems. For instance, some companies now pay employees and freelancers in cryptocurrency or provide crypto-based incentives for customer loyalty programs.

The Role of Exchanges in the Crypto Ecosystem

If you’ve never used crypto, getting started might seem overwhelming. That’s where reliable crypto exchanges like Coinsdrom come into play. A crypto exchange acts as a bridge between the traditional financial system and the world of digital currencies. Whether you want to buy Bitcoin for the first time, send crypto to a friend, or learn how it works, having access to a trusted exchange can make the process easier and more secure.

Here are a few reasons why you should have an exchange account ready:

• Convenience: You may not need cryptocurrency every day, but having an account on a trusted exchange means you can buy, sell, or convert it whenever the need arises.
• Ease of Use: Exchanges like Coinsdrom are designed with beginners in mind. They provide simple interfaces, clear instructions, and customer support to help you navigate the process.
• Security: Reputable exchanges ensure your transactions are safe and secure. Coinsdrom, for example, prioritises user protection by adhering to regulatory standards and implementing strong security protocols.

The Future of Crypto: Why You Should Start Now

Although crypto is still in its early stages of mainstream adoption, it’s here to stay. More industries are integrating blockchain into their operations, and cryptocurrencies are gradually being accepted as a legitimate means of payment in various sectors. By familiarising yourself with the basics today, you’ll be ahead of the curve as crypto continues to grow in importance.

Whether buying goods online, sending money overseas, or engaging with the growing digital economy, understanding how cryptocurrencies work will soon be a basic skill. Start learning how to open a wallet, understand transactions, and connect with trusted exchanges like Coinsdrom to ensure you’re prepared for the future of finance.

In the end, cryptocurrencies are not just about financial opportunities; they represent a new way of thinking about ownership, value transfer, and decentralised systems. By trying crypto now, you’re not just exploring a new trend but positioning yourself for the future.

Cryptocurrencies are no longer just the domain of tech geeks and finance gurus—they have gone mainstream with celebrities also jumping on the bandwagon. From flashy endorsements to social media shout-outs, many famous faces have made a foray into the world of digital currencies. 

But what really happens when a celebrity decides to embrace crypto? In this piece, we explore how some of your favorite stars have tried to leave their mark on the world of crypto.

The Celebrity Crypto Craze

Celebrities have always been trendsetters, so it is only natural they have gravitated toward the fast-paced world of cryptocurrencies. When a star endorses something, it often catapults into the limelight—whether it is a new fashion line or, in this case, a digital currency. Fans, eager to follow in their idol’s footsteps, rush to buy crypto as if it were the latest hot ticket item.

Take Elon Musk, for example. The Tesla and SpaceX mogul has practically become the poster man for crypto, particularly Bitcoin and Dogecoin. His tweets have been known to send these coins on wild rides, with prices skyrocketing—or crashing—based on just a few words. In 2021, Tesla’s whopping $1.5 billion Bitcoin purchase sent the cryptocurrency’s value through the roof, showing just how much sway celebrities can have in this market.

For those looking to buy crypto, it is essential to approach the market with caution. We, at Coinsdrom, offer a safer way to buy high-capitalization coins like Bitcoin and Ethereum, providing a more stable experience compared to the roller-coaster ride of lesser-known coins.

Celebrity Endorsements – The Good, The Bad, and The Ugly

Celebrity endorsements can be a double-edged sword in the crypto world. 

They can either make a cryptocurrency soar to new heights or crash and burn spectacularly—sometimes, both in quick succession. Take Lionel Messi, who endorsed the WATER token in July 2024. His backing sent the token’s value soaring by 350% in just a few hours, showcasing the power of celebrity influence in the market.

But remember, not all that glitters is gold. While some celebrity endorsements turn out to be lucrative, others quickly fizzle out, leaving fans with a depreciated coin and a hard lesson in market volatility. 

For example, Kim Kardashian’s 2021 Instagram promotion of EthereumMax came with a brief surge in value, but the hype was short-lived. The coin’s value plummeted soon after, and many holders were left holding onto a coin worth less than their morning latte. 

And who could forget DJ Khaled’s unfortunate foray into the crypto world with Centra Tech, a cryptocurrency debit card project? Promoted as the next big thing, it all came crashing down when the project unraveled, buyers lost millions, and one of the co-founders found himself behind bars. Khaled’s endorsement quickly turned into a cautionary tale about the dangers of blindly trusting celebrity-backed crypto projects.

When Celebrities Try to Launch Their Own Coins

Some celebrities do not stop at endorsements; they dive in headfirst by launching their own cryptocurrencies. 

The results? Let’s say they are a mixed bag. Caitlyn Jenner, Iggy Azalea, and Rich The Kid are among those who have tried to ride the crypto wave by launching their own tokens. While these ventures have certainly generated buzz, they have also sparked skepticism and controversy.

Take Iggy Azalea, for instance. She found herself in the middle of a crypto debacle when she had to launch her “MOTHER” token prematurely to fend off a scam that was using her name. Instead of a strategic move into the crypto world, the whole thing felt more like a rushed attempt to control the damage—a stark reminder that not all celebrity coins are a safe bet.

While some fans see these celebrity coins as a new way to engage with their idols, others approach them with caution. The rapid price swings and scam allegations surrounding these coins have left many wary. 

As one Reddit commenter put it, “When will we learn? 90 percent of what any celebrity shills is a scam.” This sentiment is echoed by many who warn that celebrities, much like institutions, often rely on retail buyers to be the ones left holding the bag.

If you are looking for a safer, more secure option, Coinsdrom provides a platform where you can buy crypto in a protected environment. Our team aims to provide a relatively stable alternative to the unpredictable world of celebrity coins.

Should You Buy a Celebrity-backed Crypto – What Is the Lesson Here?

It is simple: just because a celebrity is talking about a coin does not mean you should rush to buy crypto. While their endorsements can be entertaining and sometimes even profitable, they can also lead to serious losses if you are not careful. The crypto market is notoriously volatile, and not even the biggest stars can predict its future with any certainty.

Before you get caught up in the hype of a celebrity-backed coin or flashy new NFT, take a moment to do your own research. Remember, in the world of crypto, the only fortune that truly favors the brave is one built on a solid understanding of the market and a clear awareness of the risks involved.

Risk Warning: The exchange of digital currency is considered a risky transaction with highly speculative outcomes. Purchasing or selling Cryptocurrency carries significant risk. The company does not act as a financial advisor, does not provide investment advisory services or guidance. The company does not guarantee any profit from any activity associated with its services. You should carefully consider if holding digital currency is suitable depending on your financial circumstances.