World Liberty Financial has unveiled a governance overhaul that would condition voting rights on long-term staking while reallocating stablecoin arbitrage benefits to large token holders.
The proposal requires holders of unlocked WLFI tokens to stake their assets for at least 180 days before participating in governance decisions. It also introduces a tiered system — “Node” and “Super Node” — designed to reward substantial staking commitments with enhanced access and economic advantages.
Tiered Access Model
Under the framework, participants staking a minimum of 10 million WLFI, or about $1 million at current prices, would qualify as “Nodes.” This status would grant access to over-the-counter USD1 conversions at a 1:1 ratio through licensed market makers. The protocol said it would subsidize those market makers to help maintain the peg, effectively shifting arbitrage spreads — previously estimated at 10 to 15 basis points per cycle — from institutional firms to qualifying stakers.
Those committing 50 million WLFI, roughly $5 million, would earn “Super Node” designation. In addition to conversion privileges, Super Nodes would receive direct engagement opportunities with the project team for partnership discussions and could qualify for additional financial incentives under separate commercial arrangements.
Staking Rewards and Governance
Participants who stake would earn an estimated 2% annual return in WLFI tokens, funded by the project treasury. However, eligibility for rewards would depend on active participation in governance votes, reinforcing the link between capital lock-up and decision-making authority.
The proposal comes as USD1’s circulating supply has expanded to approximately $4.7 billion, placing it among the largest stablecoins in the market.
A voting date for the proposal has yet to be announced.
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