Justin Sun Criticizes Trump-Backed Crypto Project Again

Tensions between crypto entrepreneur Justin Sun and a cryptocurrency project backed by Donald Trump are clearly escalating. The dispute centers around the altcoin World Liberty Financial (WLFI) and its newly proposed governance rules, which have sparked widespread criticism.

The Trump family has introduced changes that include unlocking and burning WLFI tokens. The proposal also involves locking up more than 62 billion tokens for as long as five years. Additionally, participants who vote against the proposal could have their funds frozen indefinitely.

Sun strongly condemned these ideas, calling them one of the most absurd governance mechanisms he has ever encountered. In his view, the voting system relies on pressure and concentrates power in the hands of a small group, undermining its credibility. Particularly controversial is the rule stating that opposing the proposal could result in a permanent token lock.

He emphasized that such measures have nothing to do with a democratic decision-making process. Instead of encouraging compromise, the system punishes dissent. According to Sun, this resembles coercion rather than genuine voting.

This is not the first accusation against WLFI. Sun, who previously invested $30 million in the project and served as an advisor, has also accused its creators of mismanaging funds. He claims they treated project resources like a private ATM, taking out large loans backed by tokens, which allegedly contributed to their declining value.

The conflict intensified further when WLFI threatened Sun with legal action. For now, there are no signs that the situation will calm down anytime soon.