If I'm not mistaken, Liberland will have a physical presence in Europe, but it'll "live" entirely on the Blockchain. It's like a virtual country governed by its stakeholders (citizens) participating in a global blockchain network. If Liberland becomes a success, it can be a real game-changer to the way governments operate today. This could bring true democracy and decentralization via the power of Blockchain technology. The fact that Roger Ver is backing Liberland, could indicate us that Liberland is legit. Since the Foundation is accepting PayPal for donations to a Brazilian charity, it's much easier to detect fraud. I doubt they'd want to damage their reputation by scamming people, after all they been through over time.
Nonetheless, time will tell us the outcome of Liberland's developments as the crypto space becomes more widely recognized by people in the mainstream world. I can't find much information about Liberland's Merit Token other than a single article from Bitcoin.com. Supposedly, it had trading pairs on "Altilly" exchange but I can't see them. There's no way to buy/sell "LLM" tokens on the market, so this could raise some concerns to investors.