- World Liberty Financial (WLFI) froze 540 million tokens tied to Justin Sun’s wallet.
- Sun insists the freeze violates investor rights and undermines trust.
- WLFI’s price has fallen from $0.46 at launch to around $0.18.
Justin Sun has publicly urged World Liberty Financial (WLFI) to release his tokens after the project restricted access to 540 million unlocked WLFI tokens associated with his wallet.
The Tron founder, who joined WLFI as an advisor and early investor, says the move contradicts basic principles of fairness and transparency that should guide blockchain projects.
WLFI management blacklisted Justin Sun’s address
The freeze followed a series of transactions from a wallet linked to Sun on the Ethereum blockchain.
WLFI’s management blacklisted his address, preventing him from transferring tokens he maintains were legally obtained.
Sun said the transactions were merely small deposit tests. He emphasized these moves did not involve buys or sells that would have materially affected the market.
He called on the WLFI team to immediately unlock the tokens and respect the rights of all investors.
Sun warned that unilateral freezing risks damaging the project’s credibility and eroding trust within the wider community.
Sun’s public appeal
Sun posted on X and delivered a direct message to both the WLFI team and the broader global community.
He reminded followers that he had invested not only financially but also emotionally and strategically in the project’s early development.
Sun disclosed that he originally purchased WLFI tokens worth $30 million at the end of 2024, aligning his interests with other early backers.
“My tokens were unfairly frozen,” he wrote. “As one of the early investors, I joined with everyone — we bought in the same way, and we all deserve the same rights.”
He argued tokens should be treated as “sacrosanct,” a principle that distinguishes blockchain from traditional finance, where unilateral freezes remain common.
Sun urged WLFI to reverse course, stressing that genuine financial projects can only grow through fairness, transparency, and trust. He cautioned that anything less risks damaging the project’s reputation and alienating the community.
Market turbulence and governance concerns
WLFI’s price action since debut has been volatile. The token launched on September 1 at $0.46, only to drop to $0.25 within two hours amid heavy selling pressure on major exchanges, including Binance, OKX and Gate.
Since then the price has continued to slide, hovering just above $0.18 at the time of reporting, a decline of nearly 60% from its launch high.
The controversy over Sun’s wallet has intensified concerns about WLFI’s governance model.
Despite being presented as a decentralized platform, the project team’s ability to blacklist wallets and freeze investor tokens has raised sharp questions.
Critics say such unilateral actions undermine the decentralization principles WLFI and similar projects claim to uphold.
WLFI’s team has not yet responded directly to Sun’s appeal, leaving uncertainty over the project during these critical early days.
With the token struggling to maintain stability and investors wary of governance risk, how this dispute is handled could determine whether WLFI can restore trust and build a lasting reputation in the competitive digital asset market.