A public feud between Justin Sun, founder of Tron, and WLFI, a crypto project linked to the Trump family, has escalated after Sun denounced a new governance proposal. Sun argued that the proposal is designed to punish those who vote against it, with token holders facing indefinite lockups.
He also alleged that his own tokens, representing around 4% of the voting power, had been frozen. The proposal in question aims to overhaul token lockups, with over 62 billion WLFI tokens subject to new terms, including multi-year lockups and vesting schedules.
Insiders, such as team members and partners, would face a two-year lockup, followed by a three-year gradual release, and a 10% token burn. Sun criticized the plan, stating that it is an 'exercise of power by the selected few' and not a genuine governance proposal. WLFI has countered that the proposal is designed to 'further align all participants in the WLFI ecosystem for the long-run' and ensure a healthy market supply. The dispute is the latest in a series of tensions between Sun and WLFI, which have been building for months.