Shared on X.
This proposal suggests using all protocol-owned liquidity (POL) fees earned by WLFI to buy back WLFI tokens from the market and burn them permanently.
It does not apply to community LPs or third-party liquidity providers.
The goal is to reduce circulating supply, strengthen holder alignment, and make WLFI more valuable as usage grows.
Let’s dive in. 
“This proposal directs all fees earned by WLFI’s protocol-owned liquidity (POL) to be used for buying WLFI on the open market and permanently burning it.”
This means that WLFI’s own liquidity pools (on Ethereum, BSC, and Solana) generate trading fees. Instead of keeping those fees as revenue, WLFI would use 100% of them to buy WLFI from the market and destroy those tokens.
Only WLFI-controlled liquidity is included.
Community LPs and outside liquidity providers are unaffected.
“Direct supply reduction: Every trade generates fees that will now remove WLFI from circulation.”
Burning tokens reduces total supply. Over time, fewer WLFI tokens available means each holder’s share of the network increases in relative weight.
The actual impact depends on trading volume.
Unknown: The size of fees collected daily/weekly isn’t disclosed, so we can’t yet estimate how much WLFI would be burned. Some protocols have a verifiable
“Stronger holder alignment: This program removes tokens from circulation held by participants not committed to WLFI’s long-term growth and direction.”
The buyback buys WLFI from sellers (short-term players) and permanently removes those tokens, leaving more weight with long-term holders.
This aligns incentives with committed holders.
“Alignment with growth: More usage = more fees = more WLFI burned.”
The system scales naturally. As WLFI adoption and trading increase, fees grow, which means more tokens burned. This creates a direct link between ecosystem growth and WLFI scarcity.
“Transparency: Burns are recorded on-chain and reported to the community.”
Every buyback and burn will be visible on-chain. Anyone can verify:
How much was bought back.
How much was burned.
This ensures trust in the process.
“We believe the community preference is to maximize impact and burn 100% of WLFI POL fees.”
The proposal favors going all-in on burning, instead of splitting between Treasury operations and burn.
Alternative options (like 50/50 split) were considered but not chosen.
Unknown: What happens if Treasury needs extra funds later for expansion or emergencies? The proposal doesn’t answer this yet.
If passed, this becomes the foundation of an ongoing buyback-and-burn strategy.
WLFI may later expand the program to include more revenue streams beyond POL fees.
Key Takeaways for the Community:
Only WLFI-controlled fees are included.
No community LP fees are touched.
The burn strengthens long-term holders by reducing supply.
Transparency is promised and details on fee amounts and Treasury fallback will maybe be shared soon.
If you have some questions or topics you want to discuss, please feel free to post below.
Cheers. 