Justin Sun is again in the center of crypto -controoverse, but this time about alleged dumping of WLFI -Tokens. The decision of the project to put his wallet on the blacklist has led a fierce debate about transparency, fairness and decentralization.
Summary
- WLFI has put a wallet on the blacklist linked to Justin Sun after nearly 60 million tokens had been moved to Binance.
- Sun denied sales, calling the blacklist of unjust and a violation of investor rights.
- The crypto community is split, where some defensive sun and others accuse him of indirect dumping.
- WLFI price has fallen by 17.9% in 7 days, because concern increases compared to centralization and protocol confidence.
World Liberty Financial has put an address on the black list that is linked to Tron founder Justin Sun, with 595 million in unlocked WLFI (WLFI) tokens and a wave of controversy and renewed control over centralization and governance within the newly launched protocol.
According to on-chain factsThe controlling address of WLFI performed the GuardianSetblacklist status function on the WLFI token contract, freezing activity of an address that is known to be associated with Sun. The relocation followed suspicious activity bound by the HTX address “HTX 48”, which overlooked nearly 60 million WLFI -Tokens to a Binance deposit portion of within 32 hours.
The WLFI core team has not released a formal explanation, but market observers believe that the action was caused by concern that the address of Sun tokens dismissed, possibly trigger or contribute to a competitive price decrease.
The blacklist seems to be an attempt to prevent further disruption of the market and to calm the fears of investors, especially in the light of WLFI’s volatile debut.
Zon denies the dumping of WLFI, claims that portfolios were wrongly frozen
Justin Sun responded to X (formerly Twitter) and claimed that the transfers were routine deposit tests and do not sell portfolio shuffling.
“Our address only carried out a few small deposit tests to the exchange, followed by some address splitting,” Sun written. “There was no purchases or sales involved, and it could not have had any market effect.”
In a follow-up post, Sun described the blacklist as unjust and claimed that it violated the core principles of blockchain transparency and investor’s bit.
“If one of the early investors I have merged with everyone – we have bought in the same way and we all earn the same rights,” he said. “This action threatens to undermine confidence in WLFI.”
To the World Liberty Financials team and the global community,
As one of the early major investors in World Liberty Financials, I have contributed not only capital but also my trust and support for the future of this project. My goal has always been to grow alongside the team…
— H.E. Justin Sun 👨🚀 (Astronaut Version) (@justinsuntron) September 5, 2025
Sun’s Defense refers to his earlier public statement shortly after the launch of WLFI, where he claimed that he had no plans to sell unlocked tokens and to explain the long -term mission of the project. Reports confirm that he owns more than $ 891 million in WLFI, after an investment of $ 30 million in November.
Industrial analysts and detective noses on the chain have been weighed, with a number of supporting Sun’s version of events. Blockchain -data companies such as Nansen found no direct evidence Of the sun that sells large WLFI volumes from his blacklist. However, others remain skeptical.
A user on X accused Sun from using user deposits to load WLFI on indirect resources, suggesting a schedule with a “20% APY” yield program. The user claimed that this enabled the sun to bypass the blacklist and still exercise sales pressure, say a tactical critics that are “disguised dumping”.
Proponents of the WLFI movement claim that the protocol is within its right to intervene during price instability, especially after a chaotic launch that saw missing disclosures and massive whale movements. However, the decision has also made a return, whereby critics warn that the blacklist of investors without formal disclosure can hollow confidence and dispute the statements of WLFI about decentralization.
WLFI slips in the midst of market uncertainty
WLFI started officially acting on Monday, supported by a company connected to US President Donald Trump. The token rose briefly to $ 0.32, but has since fallen more than 17.9% on the weekly graph, which is currently traded below $ 0.18, according to Market Data Crypto.news.
In an attempt to restore market stability, the WLFI team has proposed a back-buy-and-burn program, and even burned 47 million tokens. Although the move can help to reduce the supply and support price, the uncertainty around the blacklist and the transparency of the board on sentiment remains.
