Justin Sun called it “pure PR fun.” World Liberty Financial, or WLFI called it a lawsuit.
Collaborative Reading
WLFI vs. The Sun: Public Debate Goes Legal
Trump-affiliated crypto project filed a defamation suit against the founder of Tron on Monday, accusing him of a deliberate campaign to damage its reputation and drive down its price.
According to reservationThe Sun began publicly reporting falsehoods on radio and social media as of April 12 – WLFI’s statements were designed to manipulate opinion, not cause concern.
The a case it doesn’t come from anywhere. The sun was very focused on the project. An organization connected to him bought $30 million in WLFI tokens in November 2024, and he joined WLFI as a consultant at the same time. The relationship seemed solid – until it wasn’t.
Today, we are suing Justin Sun for defamation. The Sun has launched a campaign against World Liberty Financial and refused to stop even when faced with the truth.
Here is his story.🧵
– WLFI (@worldlibertyfi) May 4, 2026
Things started to go wrong when Sun tried to move his tokens to Binance in violation of the terms of their agreement. WLFI responded by freezing the stock, citing its contractual right to do so. That freeze, the company says, wasn’t punishment — it was protection.
Sun has launched a smear campaign in conjunction with journalists who happily share his lies. Sun’s lies were created, in his own words, to make the value of the symbol “bad.” pic.twitter.com/y4wmaTWDyc
– WLFI (@worldlibertyfi) May 4, 2026
The Sun Returns With Its Own Case
The sun did not freeze quietly. At the end of April, he sued WLFI first, claiming that the company wrongfully locked up tokens that were once worth $1 billion and deprived him of his voting rights. His case framed WLFI as a persecutor. WLFI’s defamation suit, filed a few days later, tells a different story.
Adoption reports from this file, WLFI says that after the winter, the Sun went public with false claims about the management of the project and said that there is a secret secret in its system.
Today, I filed a lawsuit in federal court in California against World Liberty Financial to protect my rights as an owner of $WLFI signs.
I have always been—and remain—a strong supporter of President Trump and his Presidential efforts to make America friendlier.…
– HE Justin Sun 👨‍🚀 🌞 (@justinsuntron) April 22, 2026
The company says the claims ignored information previously found in its records. It also accuses the Sun of using money to spread its message further – allegedly working with influencers and bot accounts to promote its posts on social media.
Dzuwa, for his part, confirmed that he is aware of the case and said he stands by everything he did. He said he expects to win in court.
Collaborative Reading
The Icon Hits the Middle of the Game
The WLFI stock briefly jumped 8% after news of the lawsuits broke. But that pop is staying put – the benchmark had already fallen 15% last week and was down 35% last month.
The lawsuit asks the court to hold Sun financially liable for damages associated with WLFI a symbol. The exact number has not been revealed in reports so far.
What is clear is that the two parties that shared the business relationship are now fighting this battle in public – and in court.
Image taken from Unsplash, chart from TradingView
