The Trump family’s crypto firm, World Liberty Financial, filed a lawsuit Monday against Tron founder Justin Sun, accusing the crypto entrepreneur of shorting their token last fall and then defaming the company once his holdings of the asset were frozen.
Monday’s lawsuit, filed by World Liberty in Florida state court, accuses Sun of funding “a large, deliberate, short-selling campaign designed to suppress $WLFI's price” when the token launched for public trading back in September.
World Liberty claims it then froze Sun’s massive token position to “prevent further harm” to the company and its token holders—a right the company says it always had pursuant to Sun’s token unlock agreement.
Per today’s lawsuit, Sun then began privately threatening litigation against the Trump family’s crypto firm, allegedly claiming his lawsuit would “light World Liberty on fire” and cause WLFI’s price to “go to shit.”
Sun ultimately did file a lawsuit against World Liberty last month, claiming he remains an ardent supporter of President Donald Trump, but that the president’s company violated his rights as an investor by improperly freezing his tokens.
The alleged defamation lawsuit that World Liberty announced on X today is nothing more than a meritless PR stunt. I stand by my actions and look forward to defeating the case in court.
In today’s lawsuit, World Liberty argued such statements were defamatory and “profoundly harmful” to the company. The firm also accused Sun of hiring social media influencers and deploying social-media “bot” accounts “to amplify his lies.”
