World Liberty Financial ($WLFI) has recently responded to the accusations posed by Justin Sun, the founder of the TRON network. The platform has declared the accusations to be baseless. As per the data from Bull Theory, Justin Sun accused the WLFI team of having integrated a concealed backdoor dealing with the token contract that permits the freezing of any wallet with no prior warning. However, WLFI has dismissed the claims as false and promises a court battle for the settlement of the issue.
World Liberty Financial Defends Against Justin Sun’s Allegations of Hidden Backdoor
Justin Sun has been engaged with the World Liberty Financial (WLFI) project since late 2024, beginning with the investment of $30M. Following that, he raised his stake in the company to the staggering $75M and become an advisor. He additionally committed $100M to the memecoin $TRUMP, increasing the exposure to almost $175M.
Nevertheless, his latest statement concerning the potential hidden smart contract backdoor of World Liberty Financial has triggered a market-wide debate. Sun asserted that the respective backdoor permits the team of the project to freeze any wallet while requiring no warning ahead. Hence, Sun has called for the accountability of World Liberty Financial to get answers for such rule violations.
WLFI Accuses Sun of Malicious Practices with Declaration of Legal Case
Contrarily, WLFI accused Sun of utilizing the crypto exchange HTX for token offloading while the retail investors were reportedly locking their tokens for yield. As per the platform, this was the reason why they froze Sun’s wallet by locking up to 595M tokens, equaling $107M. Nevertheless, Sun insists that the respective transactions were test transfers while maintaining that the allegations are baseless.
In the meantime, as Bull Theory reports, the treasury operations of WLFI have triggered concerns, as in February the firm started borrowing stablecoins via the DeFi lending entity Dolomite. At the moment, WLFI has declared to file a legal case against Justin Sun. Overall, the outcome of whether Sun’s claims are true or false will notably contribute to shaping the next key trend when it comes to crypto accountability.
