World Liberty Financial Sues Justin Sun for Defamation

World Liberty Financial, the cryptocurrency venture co-founded by President Donald Trump and his sons, filed a defamation lawsuit Monday against Tron founder Justin Sun in Florida's Eleventh Judicial Circuit Court in Miami-Dade County. The suit accuses Sun, a major early investor in the project, of launching a coordinated smear campaign on social media after the company froze tokens linked to his entities.

According to the lawsuit, Sun violated token sale agreements through straw purchases on behalf of other investors, unauthorized transfers to exchanges like Binance, and a deliberate short-selling campaign aimed at suppressing the WLFI token's price upon its public launch in September. World Liberty Financial said it exercised contractual rights to freeze those holdings, valued at hundreds of millions of dollars, to protect the company and its token holders. The complaint alleges that Sun responded with defamatory posts reaching millions of views, accusing the firm of treating the crypto community as a "personal ATM," improper governance, and fraudulent practices. It further claims Sun hired influencers and deployed bot accounts to amplify the statements, causing reputational...