Tron founder disputes blacklisting by Trump-linked DeFi platform amid $9M transfer scrutiny
Tron founder Justin Sun has urged World Liberty Financial (WLFI), a decentralized finance project tied to the Trump family, to unfreeze his pre-sale token allocation after his wallets were blacklisted this week. The freeze followed blockchain tracker reports of suspicious transfers totaling around $9 million, sparking speculation about Sunās intentions.
Sun responded on social media Friday, arguing that his allocation was āunreasonably frozenā and that WLFIās actions run contrary to the decentralized values of blockchain.
āTokens are sacred and inviolable ā this should be the most basic value of any blockchain,ā Sun said. He added that blocking his tokens could harm investor confidence and urged the project to ārespect these principles, unlock my tokens, and move forward together.ā
Sun maintains that he intends to hold WLFI long-term and previously pledged to use his tokens for yield generation on HTX while supporting the projectās ecosystem.
$9M Movement Sparks Speculation
Data from analytics firms Nansen and Arkham flagged Sunās wallet after WLFI tokens were moved to the HTX exchange. According to Bubblemaps, Sun transferred nearly $10 million worth of WLFI to centralized exchanges in three days, raising concerns that he was selling despite earlier commitments.
Critics argue the transfers contradict Sunās statements. āIf Justin Sun lured WLFI tokens from HTX users with high yields and then sold his own unvested position, freezing is justified,ā said Quinten FranƧois, co-founder of decentralized app weRate.
However, some industry figures defended Sun. Alex Svanevik, founder of Nansen, noted there is no clear evidence that the Tron founder sold his WLFI allocation.
WLFIās Position
WLFI has not issued a formal resolution but acknowledged that Sun and the team remain in active communication. The project previously highlighted Sunās support, including his pledge to mint $200 million in stablecoins on Tron to help power WLFIās ecosystem.
The dispute underscores ongoing tensions between investor rights, transparency, and decentralization in emerging blockchain projects.
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