ALT5 Sigma’s Risky WLFI Token Pivot Triggers Market Turmoil
ALT5 Sigma Corporation's gamble on World Liberty Financial tokens has backfired spectacularly, eroding 80% of its market value since August. The Nasdaq-listed fintech's abrupt shift to a digital asset treasury model—centered on accumulating WLFI tokens—has sparked investor exodus, leadership departures, and regulatory scrutiny.
Despite a 5.4% intraday rebound to $1.8550, persistent volatility plagues ALTS stock as trading volumes fluctuate wildly. The company's $1.5 billion fundraising ambition for its DeFi treasury initiative now appears dangerously optimistic amid money laundering convictions and opaque financing.
Market participants question the viability of ALT5's strategy as secrecy surrounds its token accumulation. The WLFI token's governance role in World Liberty's DeFi project fails to offset collapsing investor confidence, with unusual trading patterns drawing regulatory attention.