Crypto entrepreneur Justin Sun says he’s filed a lawsuit against World Liberty Financial, alleging the project improperly froze his tokens and stripped his governance rights.
Sun detailed the move in a new post on X.
“Today, I filed a lawsuit in California federal court against World Liberty Financial to protect my legal rights as a holder of WLFI tokens.”
According to Sun, the conflict stems from actions taken by individuals associated with the project.
“They wrongfully froze all of my tokens, stripped me of my right to vote on governance proposals, and have threatened to permanently destroy my tokens by ‘burning’ them—all without any proper justification…
I have tried in good faith to resolve this situation… But the project team has refused my requests… They have left me with no choice but to turn to the courts.”
Sun says the dispute does not reflect a shift in his political stance.
“I have always been—and remain—an ardent supporter of President Trump and his Administration’s efforts to make America crypto friendly. This lawsuit does not change how I feel about President Trump or the Trump Administration.”
The dispute also extends to a governance proposal published on April 15, which Sun says is harmful to token holders.
He believes the proposal could impose strict vesting schedules and indefinitely lock tokens for those who do not explicitly accept its terms.
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