Justin Sun Urges World Liberty Financials to Unfreeze His Tokens

Justin Sun, founder of TRON, has called on World Liberty Financials (WLFI) to release his frozen tokens. In a post on X, Sun said his assets were “unreasonably frozen” despite his early support for the project. Sun stressed that he had invested capital and trust in WLFI to grow alongside the team and community. He argued that all investors, whether large or small, deserved equal rights. “Tokens are sacred and inviolable,” he wrote. Sun describes fairness and transparency as the foundation of blockchain. He urged the WLFI team to unlock his holdings and avoid actions that could undermine investor confidence.

Questions Over WLFI Price Drop

The dispute comes as WLFI faces market volatility. On September 4, the token fell sharply from $0.211 to $0.187 within two hours. It’s a drop of more than 11%. Trading data showed heavy volumes on centralized exchanges, with large deposits hitting Bybit, OKX, and Binance.

The sudden sell-off raised speculation that Sun may have triggered the decline. Blockchain analytics platform Nansen investigated the timeline to clarify events. According to its findings, Sun transferred 50 million WLFI tokens worth $9.2 million several hours after the price drop. The transaction, sent from his labeled address. It ranked among the largest moves during the 48-hour window but occurred after the steep fall.

Onchain Evidence Clears Sun

Nansen’s analysis made clear that Sun was not behind the sharp WLFI sell-off. Instead, investigators traced the chain of events back to 02:19 UTC. When BitGo released 40.8 million WLFI tokens to an external wallet later linked to Flowdesk, a major market maker. Within minutes, Flowdesk redistributed the tokens across multiple exchanges. It sends 16.3 million to Bybit, another 16.3 million into high-activity accounts tied to OKX, and over 8 million to Binance.

This rapid flood of supply created heavy downward pressure. With WLFI sliding more than 11% in the next few hours. The heaviest selling occurred between 04:00 and 06:00 UTC, well before Sun made his move. Sun’s $9.2 million transfer happened at 09:18 UTC. Several hours after the crash had already taken place. “The precise timing reveals Justin Sun did not cause the crash,” Nansen noted.

Sun Declares Innocence

Following Nansen’s report, Alex Svanevik, CEO of Nansen, shared screenshots of his conversation with the platform’s AI agent. The analysis showed that initial assumptions linking Sun to the crash were inaccurate once the timestamps were reviewed. Sun quickly reposted the findings, stating simply, “I am innocent.” The comment drew attention across crypto communities, many of which had speculated about his role in the market move.

Implications for WLFI

The dispute over frozen tokens and the timing of Sun’s transfer adds further uncertainty for WLFI. Investors are weighing the project’s governance practices as well as its ability to maintain fairness among early backers. Sun warned that unilateral freezes could harm trust in the project. He argued that transparency and respect for investor rights were essential to building a “great financial brand.”

The situation highlights ongoing tensions between major investors and emerging projects. It also raises questions about how decentralized platforms handle token distribution and market shocks. Currently, WLFI faces the dual challenge of addressing Sun’s appeal. At the same time, it is restoring market confidence after a sharp decline. How the team responds may influence both investor sentiment and the project’s longer-term credibility.