World Liberty Hits Back at Justin Sun Over 'Misconduct' Allegations Amid Defamation Row

A dramatic turn of events has unfolded as Eric Trump, co-founder of World Liberty, has shifted from openly admiring Justin Sun on social media just ten months ago to now disparaging a lawsuit filed by Sun against World Liberty. The lawsuit, filed in the Northern District of California, accuses World Liberty of wrongfully freezing approximately four billion $WLFI tokens, valued at around $1 billion. In response, World Liberty has dismissed the suit as a 'desperate' attempt to divert attention and has pledged to continue protecting its users, with co-founder Zach Witkoff accusing Sun of 'misconduct'. However, neither Witkoff nor the company has elaborated on the nature of Sun's alleged misconduct. A company spokesperson declined to comment further, instead referring inquiries to posts made by Witkoff and Eric Trump on social media. Eric Trump compared the lawsuit's validity to the infamous instance of a $6 million banana duct-taped to a wall, stating that the only thing more ridiculous than the lawsuit is such an extravagant art purchase. The complaint filed by Sun alleges that World Liberty made various accusations against him in private, including blaming him for a 40% price crash of $WLFI on its first tradable day and accusing him of short-selling, which Sun denies. World Liberty also reportedly objected to Sun's $100 million purchase of $TRUMP tokens and accused him of acting as a straw purchaser and executing prohibited transfers, among other violations. The lawsuit highlights a deepening rift between the parties involved, with World Liberty yet to formally respond to Sun's allegations.