World Liberty Financial (WLFI), a crypto investment firm backed by the Trump family, has seen its portfolio decline by $51.7 million following the announcement of new import tariffs by U.S. President Donald Trump.
The downturn, which represents a 21% loss on WLFI’s recent $242.77 million crypto investment, underscores the broader market reaction to the policy shift.
Market Impact and WLFI’s Losses
SpotOnChain Analytics reported the losses in a post on X, stating, “World Liberty Financial’s $242.77 million crypto investment made between Jan 19 and 31 is now down over $51.7M (-21%) after Trump’s new tariffs rattled the markets!”
The firm’s three most affected holdings include:
- Ethereum (ETH): Down $36.7 million (-24.4%)
- Wrapped Bitcoin (WBTC): Down $8 million (-12.1%)
- Ethena (ENA): Down $2.05 million (-43.7%)
Trump announced the tariffs on February 1 as part of a broader effort to address the U.S. trade deficit. The measures include a 25% tariff on goods and services from Mexico and Canada, along with a 10% tariff on Chinese imports.
WLFI: Portfolio Devaluation
According to data from Arkham Intelligence, WLFI’s total crypto holdings have fallen by 18.37%, bringing the firm’s overall portfolio value down to approximately $347 million.
Despite the downturn, ETH and WBTC remain the firm’s largest assets, with holdings of 66,834 ETH (worth $165.85 million) and 646.715 WBTC (valued at $60.59 million), respectively.
Other notable assets in the firm’s diversified portfolio include Staked Ethereum (STETH), USD Coin (USDC), Tron (TRX), Chainlink (LINK), and Aave (AAVE), bringing the total number of tokens in its wallet to 149.
Broader Market Reaction
The impact of the new tariffs extends beyond WLFI, as the entire cryptocurrency market has experienced a downturn. Over the past 24 hours, the total market capitalization has dropped by 11.8%, settling at $3.16 trillion. Bitcoin (BTC) has fallen below the $100,000 mark, currently trading around $93,000. Meanwhile, Ethereum is selling for $2,500, reflecting the broader market sell-off.
The recent decline has led to a spike in crypto liquidations as uncertainty looms over future market conditions. Meanwhile speculation continues about whether WLFI will seize this dip as an opportunity to accumulate more assets.
Future Outlook
Despite the sharp declines, Trump has assured that the pain from the tariffs will be “worth the price.” Whether WLFI will adjust its investment strategy in response remains to be seen. Market participants will be closely watching how both institutional and retail investors react to ongoing macroeconomic pressures.
