Justin Sun Accuses World Liberty Financial of Secretly Freezing User Holdings

A high-profile investor in President Donald Trump's crypto venture, World Liberty Financial, has accused the company of secretly freezing user holdings without cause or recourse.

Justin Sun, a well-known figure in the crypto industry, made the allegations on social media platform X, claiming that World Liberty had embedded a 'backdoor blacklisting function' in its blockchain-based contracts. This would give the company unilateral power to freeze and confiscate token holders' assets without justification or legal recourse.

The news comes as World Liberty faces scrutiny over its business practices, with some critics accusing it of operating outside regulatory boundaries. Reuters has been unable to verify Sun's claims, but the allegations have sparked concern among investors and industry observers.