Trump Family’s World Liberty Claims in Lawsuit That Justin Sun Shorted WLFI, Crashed Price
World Liberty Financial, a crypto firm linked to the Trump family, has sued Tron founder Justin Sun, alleging he deliberately shorted the WLFI token last fall and then defamed the company after World Liberty froze his holdings. World Liberty claims Sun orchestrated a campaign to suppress WLFI’s price when the token began public trading in September, justifying the freeze by citing rights in Sun’s token unlock agreement. After his assets were frozen, Sun publicly and privately pushed for their release, threatened legal action, and soon filed his own lawsuit, accusing World Liberty of improperly freezing his investment despite his professed support for Donald Trump. Sun then made public posts criticizing World Liberty’s operators as “bad actors” and accused them of exploiting the crypto community, statements that World Liberty alleges were defamatory and damaging. The company also claims Sun hired influencers and bots to amplify these claims. In response, Sun dismissed the new defamation suit as a “meritless PR stunt.” Sun previously was a major backer of Trump-linked tokens, but his relationship with the Trump family and their crypto ventures has recently deteriorated.
