📜 Community Proposal: WLFI as a Store of Value with USD1 Incentives

Thank you to the community for proposing models that reward WLFI holders.

I believe this shows how much we all care about building real value, not just short-term price action.

However, we must also consider regulatory safety.

Rewarding WLFI holders just for holding could classify the token as a security in many jurisdictions.

That’s why I previously proposed an alternative structure:

WLFI Locking = Participation Rights

  • Users lock WLFI to gain access to curated investment opportunities (proposed by the team or community).

  • Investments are made using USD1, not WLFI.

  • Profits may be used to burn WLFI, increasing long-term value.

This model:

  • Aligns with DeFi principles

  • Avoids passive income tied to WLFI

  • Respects legal frameworks

  • Still allows us to benefit from USD1 adoption

I want to clarify:

If the new proposal can be designed to avoid security classification (e.g., via WLFI locking or voting-based eligibility), I support it.

Let’s build something that can last — not just something that pumps.

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