World Liberty Financial (WLFI) blocklisted a wallet address belonging to Justin Sun, preventing the Tron founder from selling his 595.109 million WLFI tokens worth nearly $104 million.
The blocklisting affects both unlocked and locked tokens in Sun’s wallet, according to on-chain data. The wallet address is:
Sun invested $75 million total in WLFI, making him the project’s largest individual investor and securing an advisor position with the decentralized finance platform backed by President Donald Trump and his family.
Reports suggest WLFI team members believe an exchange has been using user tokens to sell and push down the token price, though this remains unconfirmed speculation.
The blocklisting has been verified through blockchain records, which confirm the address can no longer transfer WLFI tokens.
Notably, the episode occurs as WLFI faces a steep correction since its launch, sliding from $0.3086 on Sept. 1 to a low of $0.1671 on Sept. 4.
Sun’s relationship with WLFI began in November when he purchased $30 million worth of tokens. His investment rescued the project from sluggish sales, which had reached only $21 million before his capital injection.
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World Liberty co-founder Zak Folkman credited Sun with the project’s early success, stating the crypto billionaire “saw that regardless of the outcome, this project is a monumental move forward for the entire crypto community.”
Early supporter gets blocked
The blocklisting marks a significant reversal for Sun, who maintained close ties with President Donald Trump’s family through the crypto venture.
World Liberty Financial appointed Sun as an advisor immediately after his initial investment, praising his “insights and experience” as instrumental to the project’s growth.
Sun increased his investment to $75 million just before Trump’s inauguration in January, cementing his position as WLFI’s most prominent backer.
World Liberty Financial launched with key positions held by Trump family members, including President Donald Trump as chief crypto advocate and his sons as Web3 ambassadors.
Sun’s blocked holdings represent a substantial portion of circulating tokens and a 2.4 billion WLFI stash waiting to be unlocked. The blocklisting could affect governance decisions within the platform’s decentralized structure.
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Source: https://cryptoslate.com/world-liberty-financial-blocklists-justin-suns-address-holding-595-million-wlfi/
