Justin Sun Denies Pump-and-Dump Allegations as WLFI Team Freezes His Holdings

Cryptocurrency entrepreneur Justin SUN faces accusations of orchestrating a pump-and-dump scheme involving the WLFI token. The World Liberty Financial team has frozen his holdings, citing a suspicious 50 million WLFI transfer followed by a 14% price drop. Sun defends his actions as test transfers and demands the release of his funds.

Nansen AI analysis suggests the transfer occurred after the sell-off, adding complexity to the allegations. Arkham Intelligence data shows Sun's wallet still holds 545.1 million WLFI tokens worth approximately $100.6 million. The token continues to decline, edging 1% lower at press time.

Market observers note the incident highlights ongoing concerns about price manipulation in cryptocurrency markets. The case underscores the tension between project teams and large holders, particularly when transactions coincide with significant price movements.