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World Liberty Financial (WLFI), the blockchain venture associated with the Trump family, is reportedly advancing plans to tokenize portions of Donald Trump’s multi-billion-dollar real estate portfolio.
The project aims to convert some of the most recognizable Trump properties into digital investment products, opening access to retail investors who would otherwise be shut out of high-value real estate.
WLFI hopes to bridge the gap between exclusive real estate assets and the broader investing public by selling fractional ownership on the blockchain.
Meanwhile, Zak Folkman, co-founder of WLFI, said the project will not stop with real estate. The team is already exploring how real-world commodities could be brought on-chain.
According to a CNBC report, he said:
“We’ve not only thought about it, we’re actively working on it. I think commodities are a really interesting area for us, whether it be oil, gas, things like cotton, timber, all of those things, frankly, should be traded on chain.”
How does the president benefit?
The precise share of Trump’s portfolio that will be tokenized has not been disclosed. However, Forbes values his real estate holdings, including the iconic Trump Tower buildings, at $1.2 billion, so even a modest tokenization program could generate liquidity and investor yield.
Considering this, CryptoSlate’s scenario models provide a sense of what different levels of tokenization could mean for the president.
A conservative scenario in which only 10 to 20% of the portfolio is tokenized would raise between $120 million and $240 million.
This could produce annual returns between $3.6 million and $7.2 million, assuming the net operating yields on the tokenized assets are 3%. In this projection, Trump keeps majority control of the venture.
A mid-range scenario, covering 30 to 50% of the portfolio, would unlock as much as $600 million and generate substantially higher returns without Trump ceding majority control.
Here, the business is projected to produce a 5% yield, generating $18 million to $30 million annually.
Meanwhile, the most aggressive path, tokenizing 70% or more of his holdings, would allow Trump to raise close to the entire portfolio’s book value, providing nearly a billion dollars in immediate liquidity and handing investors annual yields approaching $80 million if market conditions hold.
So, each case illustrates the trade-off between Trump’s retention of control and the scale of financial benefit available to both sides.
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