Alt5 Sigma Axes CEO & COO as Trump Crypto Deal Fallout Deepens

Leadership purge hits crypto platform amid legal storm.

Trump-branded venture leaves executives holding the bag—just another day in speculative asset roulette.

TLDR

• Alt5 Sigma fires CEO and COO after internal and legal challenges surface.
• $1.5B WLFI token deal ties Alt5 Sigma to Trump family financial interests.
• SEC dropped WLFI investor probe after $30M investment in Trump-linked project.
• Governance vote backs WLFI token buyback, with 98% community approval.
• Rwanda court finds Alt5 Sigma subsidiary guilty of money laundering in May.

Alt5 Sigma, a US-based crypto firm tied to the Trump family, has fired multiple top executives after legal issues surfaced. The company removed CEO Jonathan Hugh and COO Ron Pitters, replacing both men with internal appointees. This leadership overhaul comes months after suspending another CEO, Peter Tassiopoulos, citing board action.

Leadership Changes Shake Alt5 Sigma Operations

Alt5 Sigma appointed Tony Isaac as acting CEO after cutting ties with Jonathan Hugh and RON Pitters this month. The company said the firings were not linked to specific misconduct but were necessary. Isaac had previously held various roles at Alt5 Sigma, including positions in recycling and opioid program assistance.

Earlier, Alt5 Sigma suspended Peter Tassiopoulos, effective October 16, following an internal board decision on September 4. The board placed Chief Revenue Officer Vay Tham on leave at the same time, according to internal emails. These documents were verified by two independent sources familiar with Alt5 Sigma operations.

Zachary Witkoff, a TRUMP ally, remains chair of Alt5 Sigma’s board, with Eric Trump and Zachary Folkman listed as board observers. Donald Trump Jr. also appeared at a Nasdaq bell ceremony celebrating the company’s partnership. Despite the upheaval, World Liberty Financial said, “The filing speaks for itself,” and confirmed it remained “excited about the future for Alt5.”

WLFI Token Tied to $1.5 Billion Deal and Buyback

Alt5 Sigma signed a $1.5 billion deal in August to acquire WLFI tokens from World Liberty Financial. Under the agreement, a Trump family entity WOULD collect 75% of all token-sale proceeds. The deal transformed Alt5 Sigma from a traditional business into a crypto-focused firm.

The WLFI token has increased approximately 14% in value over the last seven days. This surge followed a buyback MOVE through CoW Swap, where $10 million bought 59 million WLFI tokens. Alt5 Sigma confirmed the action complied with its September 19 governance proposal to burn and repurchase tokens.

That proposal received overwhelming support, with 98% voting in favor and only 0.06% opposing the token supply reduction. The governance vote set the stage for the repurchase strategy now being executed. Alt5 Sigma emphasized the move aligns with WLFI’s long-term tokenomics approach.

Legal Issues Add Pressure to Alt5 Sigma’s Project

In May, a subsidiary linked to Alt5 Sigma was found criminally liable for money laundering in Rwanda. The court also held Alt5 Sigma principal Andre Beauchesne responsible and ordered his imprisonment. Both parties have appealed, arguing they were fraud victims.

The SEC recently dropped an investigation into Justin Sun, a major WLFI investor, after his $30 million investment in the venture. Senators Elizabeth Warren and Maxine Waters have requested transparency from the SEC on its decision. They questioned whether Trump’s financial ties influenced the regulatory agency’s move.

Alt5 Sigma did not directly comment on the outcome of the SEC’s dropped investigation or the senators’ letter. The company continues its crypto expansion despite pressure from recent legal and internal challenges. Its WLFI token activity remains active as the buyback strategy progresses.

Governance Vote Fuels WLFI Momentum

The governance proposal passed on September 19 became a cornerstone in WLFI’s token repurchase plan. Alt5 Sigma supported the move to reduce supply and strengthen the token’s market position. CoW Swap was chosen as the platform for executing the repurchase operation.

The $10 million WLFI buyback occurred in the past day, involving over 59 million tokens on the decentralized exchange. Alt5 Sigma confirmed the transaction aligns with community expectations following the passed proposal. It also reiterated its commitment to completing the entire repurchase program.

Alt5 Sigma’s strategy now includes continuous token burns and buybacks to support WLFI’s valuation. The company remains focused on fulfilling its crypto commitments despite ongoing legal issues. The board has not disclosed if further leadership changes are expected.

Eric Trump and Donald Trump Jr. have maintained public involvement in the WLFI venture. Both figures played ceremonial roles in Alt5 Sigma’s transition into crypto. Their participation has drawn increased attention to the firm’s activities.

Alt5 Sigma has not indicated any changes to its current WLFI roadmap. The token’s market activity continues to reflect community engagement and on-chain transactions. Regulatory inquiries remain active as political and financial scrutiny continues.