Justin Sun Demands Governance Transparency from World Liberty Financial Amid Token Slump

Justin Sun, the co-founder of the Tron blockchain, is urging World Liberty Financial (WLFI) to reveal the identities behind the multisignature wallets and smart contracts governing the platform. Sun alleges that a single guardian account possesses unilateral power to freeze token holders, a mechanism he claims was used to blacklist his own wallet in September 2025 following a $9 million transfer. The conflict emerges as WLFI faces mounting criticism over its governance structure. Recent data indicates a high concentration of influence, with 10 wallets controlling 76% of the project's voting power. While Sun views this as an alarming lack of decentralization, WLFI has dismissed his claims as baseless and threatened legal action. The dispute is unfolding against a backdrop of significant price volatility. The WLFI token recently dropped to a new low of approximately $0.077. Additionally, blockchain data shows that WLFI-linked wallets deposited 5 billion tokens as collateral on the Dolomite lending platform to borrow roughly $75 million in stablecoins, with over $40 million subsequently transferred to Coinbase Prime. While WLFI maintains that its collateral remains well above liquidation thresholds, analysts warn that further price declines could trigger risks for lenders on the Dolomite platform. This instability mirrors a broader trend among Trump-linked digital assets, as the Official Trump (TRUMP) and Official Melania (MELANIA) tokens have also reached new all-time lows.