Crypto conflict worth hundreds of millions: Tron founder Justin Sun sues company linked to Trump family

Cryptocurrency entrepreneur and founder of Tron Justin Sun has filed a lawsuit in a federal court in California against World Liberty Financial, a company linked to Donald Trump’s family. This is reported by American media, including NBC News.

The lawsuit alleges the illegal blocking of Sun’s assets – about 4 billion WLFI tokens, valued at approximately $320 million. The entrepreneur claims that the company implemented “blacklist” mechanisms in smart contracts that allow it to unilaterally restrict access to investors’ assets or actually confiscate them.

In addition, according to the plaintiff, representatives of the project threatened to “burn” his tokens, even though they were stored in a private crypto wallet. Sun also claims financial pressure: he was allegedly demanded to invest an additional $200 million in the company’s products and buy a stake in the business. After the refusal, access to the assets was allegedly restricted.

World Liberty Financial denies the charges. The company’s CEO Zach Witkoff said that the actions against Sana’s assets were due to violations on his part, and called the lawsuit groundless.

The son of the former US president, Eric Trump, also reacted sharply, comparing the lawsuit to high-profile expenses for contemporary art, calling the situation absurd.

The lawsuit is unfolding against the backdrop of growing dissatisfaction among some of the project’s investors. They complain about opaque management conditions and restrictions on the circulation of tokens, in particular, a ban on their sale until 2030. Also, information appears in open sources that a significant part of the proceeds from the sale of tokens may go to the benefit of the Trump family.

This case could be indicative for the crypto asset market, as it raises issues of control over digital assets, transparency of smart contracts, and investor rights in decentralized financial projects.