WLFI threatens Justin Sun with lawsuit

Tron founder Justin Sun publicly accused World Liberty Financial (WLFI) of embedding a hidden blacklist function in its token contract, allowing the team to freeze and confiscate investor tokens. Sun claims to be the largest victim, with his own wallet frozen since September 2025. WLFI responded by accusing Sun of misconduct and baseless allegations, threatening legal action. This dispute follows revelations that WLFI borrowed approximately $75 million in stablecoins using its governance token as collateral, which contributed to the token hitting a record low.