- Tron founder Justin Solar has filed a lawsuit towards the Trump-backed DeFi undertaking World Liberty Monetary, alleging it tried to extort him out of 4 billion WLFI tokens value over US$300 million.
- Solar claims he was supplied an ultimatum to voluntarily withdraw his tokens from circulation or have them forcibly burnt and completely destroyed.
- World Liberty CEO Zach Witkoff claimed in response that Solar’s accusations are a ploy to distract from his personal felony conduct and that the ultimatum was a part of a technique to guard WLFI customers.
Scammer versus scammer!
In what shapes because the scammer authorized showdown of the century, Tron founder Justin Sun has filed a lawsuit towards the Trump-family backed DeFi undertaking World Liberty Financial (WLFI), alleging the undertaking tried to extort him by threatening to burn his WLFI holdings — estimated to be value round US$320 million (AU$447m) and report him to the US authorities.
In accordance with Solar’s grievance filed in a federal court docket in California on Tuesday, in September 2025, shortly after World Liberty Monetary blacklisted Solar’s 4 billion WLFI tokens, the undertaking’s co-founder, Chase Herro, tried to persuade Solar to voluntarily take away his holding from circulation as a part of an ultimatum offered to the Tron founder.
Solar claims he was advised that if he refused to adjust to the ultimatum, World Liberty Monetary would maintain a vote to destroy Solar’s WLFI holdings — a vote Herro mentioned was certain to cross since a big majority of the undertaking’s voting energy is managed by only a handful of insiders.
World Liberty Monetary has by no means publicly disclosed why Solar’s tokens have been frozen. Solar’s submitting although, alleges it was a part of an try to coerce him into “offering extra capital for the good thing about the corporate.”
Some components of Solar’s grievance had been redacted, leaving some uncertainty in regards to the scope of his allegations.
Eric Trump, co-founder of World Liberty Monetary and son of US President Donald Trump, mocked Solar’s submitting on X, referring to the Tron founder’s buy of a banana in 2024 for about US$6 million (AU$8.3m).
“The one factor extra ridiculous than this lawsuit is spending $6 million on a banana duct-taped to a wall,” Trump wrote.
Zach Witkoff, World Liberty Monetary’s CEO, claimed on X that Solar’s lawsuit is an try by the Tron founder to distract from his personal alleged scammy conduct.
“Justin Solar’s latest lawsuit towards @worldlibertyfi is a determined try to deflect consideration from Solar’s personal misconduct. His claims are totally meritless, and World Liberty appears ahead to getting the case thrown out promptly,” Witkoff mentioned.
He [Sun] engaged in misconduct that required World Liberty to take motion to guard itself and its customers. World Liberty will proceed to take all vital steps to guard its group.
Notably, Zach Witkoff is the son of Steve Witkoff, a well known New York property developer and long-time buddy of Donald Trump, who’s at present serving because the Trump administration’s Particular Envoy to the Center East.
Associated: Trump-Linked Crypto Locks Investors Into Multi-Year Wait for Token Access
Solar’s Bought Historical past of His Personal
Whereas Justin Solar accuses World Liberty Monetary of dodgy dealing, the Tron founder isn’t precisely a clear pores and skin himself.
Accused of fraud, market manipulation and wash buying and selling by the Securities and Trade Fee (SEC) in 2023, Solar settled his case final month for a effective of simply US$10 million (AU$14 million), a considerably lighter penalty than many anticipated.
Associated: Justin Sun Accuses Trump Project of Secret Token Freeze, Faces Lawsuit Threat
It’s broadly suspected that Solar’s funding in World Liberty Monetary was an try to purchase leniency from the notoriously corrupt Trump administration. As of 2026, Solar stays the one largest outdoors investor in World Liberty Monetary.
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