Justin Sun Criticizes WLFI's Governance Proposal, Accusing the Project of Manipulation

A heated public dispute has erupted between Justin Sun, the founder of Tron, and WLFI, a crypto project linked to the Trump family, following Sun's scathing critique of the project's latest governance proposal. Sun took to social media to denounce the proposal as a 'scam' designed to silence dissenting voices, alleging that token holders who vote against the plan risk having their assets locked indefinitely. He also claimed that his own tokens, representing approximately 4% of the voting power, had been frozen, excluding him from the decision-making process. Furthermore, Sun questioned the legitimacy of the vote, suggesting that true control over the protocol lies with anonymous wallet addresses, including a multisignature setup that can override outcomes and a separate account with the power to blacklist users. The WLFI proposal in question aims to overhaul token lockups across the ecosystem, with over 62 billion tokens subject to new terms, including multi-year lockups and vesting schedules. Insiders, such as team members and advisors, would face a two-year lockup, followed by a three-year gradual release, alongside a 10% token burn upon opting in. Holders who do not accept the new terms would remain locked indefinitely. The backlash against the proposal is not limited to Sun, with other investors, such as Simon Dedic, founder of Moonrock Capital, expressing concerns that early investors have been 'rugged' by the Trump family. In response, a World Liberty Financial spokesperson stated that the proposal is intended to 'further align all participants in the WLFI ecosystem for the long-run,' ensuring 'healthy market supply.' The dispute marks the latest escalation in the feud between Sun and WLFI, which has been building for months, with tensions intensifying after WLFI blacklisted a blockchain address linked to Sun and deposited its own tokens into a lending protocol, triggering a significant price drop.