World Liberty Financial has blacklisted Justin Sun’s wallet, freezing 540 million unlocked WLFI tokens and 2.4 billion locked tokens.
The rumored move comes just days after the WLFI token began public trading on major exchanges.
World Liberty said it believes an exchange has been using user tokens to sell and suppress WLFI’s price. The project did not name the platform.
The Tron founder is WLFI’s largest outside investor. He invested $75 million and accumulated around 3 billion tokens, worth nearly $900 million last week.
SponsoredBeInCrypto reached out to Sun’s PR team for comments on this matter.
“Justin and the WLFI team are in active communication about this matter,” Sun’s team told BeInCrypto.
At launch, 600 million of his tokens were unlocked, but Sun publicly claimed he had no intention to sell.
WLFI trading volume topped $1 billion in its first hour on September 1, with prices swinging between $0.40 and $0.20.
The Trump family, holding 22.5 billion WLFI, saw their locked tokens briefly valued at $5 billion on paper.
The blacklist raises questions about governance and tokenholder rights in one of the year’s most politically charged crypto launches.
Regulators may also scrutinize the incident given Sun’s ongoing legal disputes and WLFI’s ties to U.S. political figures.
