Eric Trump resigned as Alt5 Sigma Board Member Amid Nasdaq Consultation
Alt5 sigma reconsidered its strategy and removed Eric Trump from its board due to Nasdaq’s advice.
The fin-tech firm initially planned to add Trump as a director alongside its $1.5 billion deal with World Liberty Financial (WLFI). However, after discussions with Nasdaq, Trump will now act merely as a board observer. The details behind Nasdaq’s recommendations remain undisclosed.
Zak Folkman, WLFI’s co-founder and COO, has been proposed as a new director, awaiting stockholder endorsement.
- Trump is now a board observer at Alt5 Sigma.
- Zak Folkman has been nominated for directorship.
- Legal issues surround Alt5 Sigma’s operations.
Further complications arose when legal troubles hit Alt5 Sigma’s Canadian branch. A court in Rwanda convicted the unit and a previous principal of financial malpractices. They seized $3.5 million and dissolved the entity.
Additionally,a bankruptcy case involving Alt5’s ex-CFO emerges. The CFO reportedly did not declare stock units, and U.S. officials seek compensation from the shares or their equivalent value.
Launched in 2024, WLFI serves as a decentralized finance platform under Trump’s branding. Yet, its token value slid nearly 50% from its highest point. Despite the setbacks, Alt5 Sigma’sWLFI stock holdings appreciated by over $200 million.
