Crypto entrepreneur Justin Sun said he has filed a lawsuit against World Liberty Financial, alleging the project improperly froze his tokens and removed his governance rights.
Sun detailed the decision 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 WLFI token holder.”
According to Sun, the conflict stems from actions taken by individuals associated with the project.
“They wrongly froze all my tokens, deprived me of my right to vote on governance proposals, and threatened to permanently destroy my tokens by “burning” them, all without any proper justification…
I tried in good faith to resolve this situation… But the project team refused my requests… They left me no choice but to go to court.
Sun says the dispute does not reflect a change in his political position.
“I have always been – and remain – a strong 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 released on April 15, which Sun says is detrimental to token holders.
He believes the proposal could impose strict vesting schedules and lock tokens indefinitely for those who do not explicitly agree to its terms.
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