Justin Sun, a major investor in World Liberty Financial (WLFI) and the TRUMP memecoin, is embroiled in a public dispute with WLFI after the project froze 595 million of his unlocked tokens worth $107 million, citing a breach of investor agreement. Sun alleges WLFI hid a backdoor in the token contract allowing wallet freezes, calling himself the largest victim of this function. WLFI denies the claims and accuses Sun of selling tokens improperly on an affiliated exchange. Meanwhile, WLFI borrowed $75 million in stablecoins on Dolomite using its own tokens as collateral and transferred $40 million to Coinbase Prime, raising further scrutiny. The WLFI token price has dropped 76% from its peak amid ongoing legal threats, with both sides preparing for court battles.
