Crypto Mogul Justin Sun Denies WLFI Pump and Dump Allegations—Claims Complete Innocence

Crypto entrepreneur Justin Sun fires back against WLFI manipulation claims—calls allegations 'baseless' and 'defamatory' in latest public statement.

Market Manipulation or Misunderstanding?

Sun's legal team asserts no wrongdoing occurred during the token's volatile trading period. Critics point to unusual volume spikes coinciding with his social media activity—a pattern we've seen before in this space.

The Regulatory Shadow

While Sun maintains his innocence, the incident highlights the ongoing tension between crypto innovators and financial watchdogs. Another day, another crypto controversy—because who needs traditional market integrity when you've got decentralized speculation?

Sun's response shifts the spotlight onto tokenomics and community trust questions that just won't disappear.

Justin Sun gets blacklisted for a 50 million WLFI sale

The WLFI token edges lower by 1% at press time on Friday, following the 14% drop from the previous day. This sudden downfall raised alarms of a potential price manipulation.

The WLFI team zeroed in on a 50 million WLFI transferred from Justin Sun’s address, then worth $9.03 million. At present, the Arkham Intelligence data shows the wallet left with 545.1 million WLFI tokens worth $100.6 million.

Justin Sun's wallet address data. Source: Arkham Intelligence

Following the trace, the team has blacklisted Sun’s wallet address and blocked his WLFI funds.  

Sun has pushed back in an X post by urging the World Liberty Financial team to unlock the tokens underpinning his contribution as an early investor. While further cementing his trust and support for the project, the founder of TRON (TRX) also highlighted that "As one of the early investors, I joined together with everyone – we bought in the same way, and we all deserve the same rights.

In a separate post, the founder elaborated on the operations that triggered the panic, specifically mentioning a few general test deposits that were followed by the 50 million token transfer. SUN calls the final transfer an address dispersion and not a sale, which could have impacted the market price.

Nansen AI agent backs Tron founder 

Alex Svanevik, the CEO of Nansen, a blockchain analytics platform, shared screenshots of the Nansen AI agents clearing Justin Sun from any direct role in the WLFI dump on Thursday. 

The AI highlights massive exchange deposits as the key catalyst that occurred between 2:19 GMT and 2:51 GMT, while the 50 million WLFI transfer occurred at 9:18 GMT. 

Justin Sun has reposted the same with the caption “I am innocent” to extend his plea. It is worth noting that he was the winner of the Trump Gala Dinner invite in late May, based on the OFFICIAL TRUMP token holding of over $22 million.