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BumRushDaShow

(172,250 posts)
Wed Apr 22, 2026, 07:57 AM Apr 22

Billionaire Investor Sues Trump Crypto Venture for Fraud, Says It's on 'Verge of Collapse'

Source: MEDIAite

Apr 21st, 2026, 8:20 pm


Billionaire Justin Sun, who invested in a crypto project backed by President Donald Trump and his family, filed a lawsuit Tuesday in a California federal court, alleging that his multi-million dollar investment was procured through fraud and the project is now “on the verge of collapse.”

The Trump family businesses have been intertwined with various cryptocurrency endeavors for the past several years, raising ethical concerns about foreign influence and conflicts of interest. World Liberty Financial (WLF) is one of those entities and was involved in a $2 billion transaction by a state-owned United Arab Emirates firm, MGX, last year. Legal experts criticized the deal as a potential violation of the emoluments clause of the U.S. Constitution.

The management of WLF includes Trump’s sons, Donald Trump Jr. and Eric Trump, and Zach Witkoff, son of Trump Middle East Envoy Steve Witkoff. The president is listed as the company’s “chief crypto advocate” and his youngest son, 20-year-old Barron Trump, is named the “DeFi (decentralized finance) visionary.” In February, Donald Jr. and Eric Trump hosted a “World Liberty Forum” to promote the crypto firm’s offerings. Sun was among the investors in WLF, according to the 52-page complaint (embedded below) he and several of his corporate entities filed against World Liberty Financial in the U.S. District Court for the Northern District of California on Monday.

In the complaint, Sun says he “lawfully purchased” cryptocurrency in the form of “cryptographically secured digital $WLFI tokens, which at times have been valued at over $1 billion” from WLF, adding that he “is a globally recognized entrepreneur in the crypto industry and the founder of the TRON blockchain network whose native digital TRX tokens currently have a market capitalization of over $31 billion, making them among the top ten most valuable digital assets in the world.”

Read more: https://www.mediaite.com/lawcrime/breaking-billionaire-investor-sues-trump-crypto-project-for-fraud-says-its-on-verge-of-collapse/



Link to SUIT (PDF viewer) - https://www.scribd.com/document/1029632343/YUCHEN-JUSTIN-SUN-et-al-vs-WORLD-LIBERTY-FINANCIAL-LLC
46 replies = new reply since forum marked as read
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Billionaire Investor Sues Trump Crypto Venture for Fraud, Says It's on 'Verge of Collapse' (Original Post) BumRushDaShow Apr 22 OP
Well.......... twodogsbarking Apr 22 #1
Yes! They can be taught! Amethyst Ring Apr 22 #2
Even my MAGA brother, who was actually quite gifted..... lastlib Apr 22 #37
A Trump financial adventures on he brink of collapse? Ray Bruns Apr 22 #3
And cue Nelson. 3Hotdogs Apr 22 #11
Krasnov got into crypto to launder money gab13by13 Apr 22 #4
From the same article Raven123 Apr 22 #5
Apparently this dude wasn't aware.... SergeStorms Apr 22 #13
"FAFO," as they say... lastlib Apr 22 #38
The one truth told by Trump Raven123 Apr 22 #43
The Trump boys walking in their daddy's Florsheim footsteps. tanyev Apr 22 #6
What floored me is that Witkoff has spawn who was involved with them! BumRushDaShow Apr 22 #8
Seems to be a theme. tanyev Apr 22 #19
It's no wonder the Trumpists were able to run a shadow government from 2021 2025... Hugin Apr 22 #33
IOW,,, lastlib Apr 22 #39
Something, something, "fool and his money".... Miguelito Loveless Apr 22 #7
Yup, any fool who bets #rump is an odds-on loser William Seger Apr 22 #34
Bought Tulip bulbs that never bloomed? multigraincracker Apr 22 #9
Claims the dude who runs a rose garden and says he couldnt tell the difference. Volaris Apr 22 #14
WOW ... so the Felon's FalloutShelter Apr 22 #10
Gosh Solly Mack Apr 22 #12
I am in awe of your deep well of sympathy. It will have to do for niyad Apr 22 #16
Thank you. I tried so hard. Solly Mack Apr 22 #28
huggggggs niyad Apr 22 #30
:) Solly Mack Apr 22 #31
hugggggggggs We all need LOTS MORE!!! niyad Apr 22 #36
I read that last quoted paragraph three times. Reading hieroglyphs would niyad Apr 22 #15
It says that "Justin Sun is no babe in the woods when it comes to crypto currency" FakeNoose Apr 22 #41
Ahhhh, thank you! I appreciate the translation. niyad Apr 22 #45
I just looked at his wiki bio. What a nasty little piece of work he is! niyad Apr 22 #17
This is the first time I have ever heard of the "996 working hour system". Prof. Toru Tanaka Apr 22 #22
So disgusting that even the chinese government declares it illegal. niyad Apr 22 #35
Trump is a crook. The world knows that. Joinfortmill Apr 22 #18
A few years ago, it would have difficult to imagine these crypto grifts. John1956PA Apr 22 #20
Couldn't have happened to a nicer guy! sarchasm Apr 22 #21
The DOMINOES are falling on the Trump regime. ProudMNDemocrat Apr 22 #23
LOL!! Maybe the SEC and others will go after Sun after dropping the investigation Bengus81 Apr 22 #24
How stupid is Justin Sun? travelingthrulife Apr 22 #25
So a billionaire got snookered? I find that comfortining Vogon_Glory Apr 22 #26
Amicable settlement will be reached... 3825-87867 Apr 22 #27
He thinks his bribe to avoid prosecution was procured through fraud??? muriel_volestrangler Apr 22 #29
Buyer beware. Sucks to be him. travelingthrulife Apr 22 #32
I have no sympathy for anyone who would invest in a 🍊🐖💩 business venture knowing that in the past he has kimbutgar Apr 22 #40
You'd think there had been no hint anywhere that Trump was and is a scam artist and a liar. Vinca Apr 22 #42
The same supposed fraud that this regime has been using a catch-all excuse to defund and destroy every little thing Karasu Apr 22 #44
One would think a billionaire would be smarter TexasBushwhacker Apr 22 #46

Amethyst Ring

(53 posts)
2. Yes! They can be taught!
Wed Apr 22, 2026, 08:06 AM
Apr 22

It only takes years of bad experiences and peeing on the electric fence numerous times!

lastlib

(28,607 posts)
37. Even my MAGA brother, who was actually quite gifted.....
Wed Apr 22, 2026, 11:28 AM
Apr 22

only peed on the electric fence once........He thought it had been unhooked.

gab13by13

(32,767 posts)
4. Krasnov got into crypto to launder money
Wed Apr 22, 2026, 08:11 AM
Apr 22

That's how the UAE and Saudi Arabia paid him big money to invade Iran.

Krasnov wants to cut interest rates to crash the dollar, that's why he has been fighting with Jerome Powell.

I hope that Jerome stays on.

Raven123

(7,897 posts)
5. From the same article
Wed Apr 22, 2026, 08:12 AM
Apr 22

“Back to the complaint: Sun describes himself as someone who “has long been (and remains) an ardent supporter of President Trump and the Trump family,” and was approached to invest in WLF in 2024, saying that he “invested $45 million” at a “pivotal time” as WLF was launching, citing his reasons as “not only because of the project’s claims that it would promote adoption of decentralized finance—an issue Mr. Sun cares deeply about and to which he has devoted much of his life’s work—but also because of the Trump family’s association with the project.”

However, Sun soon soured on the investment, and the complaint accuses WLF’s “operators” of using the project “as a golden opportunity to leverage the Trump brand to profit through fraud,



Sounds like this guy is still a Trumper. Basically blaming people not named Trump. Seriously? No sympathy here.

SergeStorms

(20,811 posts)
13. Apparently this dude wasn't aware....
Wed Apr 22, 2026, 08:53 AM
Apr 22

That everything Trump touches turns to shit. Some billionaires are just so stupid!

tanyev

(49,682 posts)
19. Seems to be a theme.
Wed Apr 22, 2026, 09:17 AM
Apr 22
Trump’s hidden back channel to Justice Kennedy: Their kids

One back channel is the fact that Kennedy’s son, Justin, knows Donald Trump Jr. through New York real estate circles. Another is through Kennedy’s other son, Gregory, and Trump’s Silicon Valley adviser Peter Thiel. They went to Stanford Law School together and served as president of the Federalist Society in back-to-back years, according to school records. More recently, Kennedy’s firm, Disruptive Technology Advisers, has worked with Thiel’s company Palantir Technologies.

In fact, during the early months of the Trump administration, Gregory Kennedy has worked at NASA as a senior financial adviser as part of the so-called “beachhead” team. Both Kennedy boys were spotted at the White House last month for the administration’s St. Patrick’s Day celebration (Justice Kennedy is Irish Catholic). In February, Ivanka Trump attended oral arguments of the Supreme Court with her daughter. She was a guest of Justice Kennedy.

https://www.politico.com/story/2017/04/donald-trump-supreme-court-236925


President Donald Trump plans to nominate Eugene Scalia, son of the late Supreme Court Justice Antonin Scalia, to be the next Labor secretary.

Scalia previously served as chief legal officer for the Labor Department during the George W. Bush administration, a position he took following a recess appointment by the former Republican president. He also worked as a special assistant to William Barr, now the attorney general, and was a speechwriter for Education Secretary William Bennett. Reached before the president’s Twitter announcement, Scalia declined to comment.

https://www.politico.com/story/2019/07/18/trump-scalia-nomination-labor-chief-1422418


Newly confirmed Attorney General William Barr’s son-in-law just left his job in the Justice Department for a post in the White House counsel’s office, raising questions about a possible conflict of interest.

Tyler McGaughey, who is married to Barr’s youngest daughter, has duties in the new White House job that are unspecified, CNN reported. The counsel’s office “advises the President, the Executive Office of the President, and the White House staff on legal issues pertaining to the President and the White House,” the White House website says.

https://www.huffpost.com/entry/william-barr-son-in-law-white-house_n_5c6bd826e4b0b9cc790012ce



Hugin

(37,993 posts)
33. It's no wonder the Trumpists were able to run a shadow government from 2021 2025...
Wed Apr 22, 2026, 10:38 AM
Apr 22

Wow… The family self dealing is astounding. All of the incompetence in all of the right chairs.

Is it too big to fail?

Miguelito Loveless

(5,920 posts)
7. Something, something, "fool and his money"....
Wed Apr 22, 2026, 08:16 AM
Apr 22

Also, isn't fraud pretty much the de facto feature of crypto?

William Seger

(12,529 posts)
34. Yup, any fool who bets #rump is an odds-on loser
Wed Apr 22, 2026, 11:05 AM
Apr 22

Ditto for anyone who loses money "investing" in the online gambling game called crypto.

Volaris

(11,794 posts)
14. Claims the dude who runs a rose garden and says he couldnt tell the difference.
Wed Apr 22, 2026, 08:55 AM
Apr 22

Anything to ruin trumps day works for me, but really lol?

niyad

(134,034 posts)
16. I am in awe of your deep well of sympathy. It will have to do for
Wed Apr 22, 2026, 09:03 AM
Apr 22

both of us, as I have none.

FakeNoose

(42,407 posts)
41. It says that "Justin Sun is no babe in the woods when it comes to crypto currency"
Wed Apr 22, 2026, 11:59 AM
Apr 22

He should have known better than to invest his "hard-earned" (cough-cough) cash in anything run by the Chump mob. This lawsuit will go nowhere, and Sun might as well sue the Irish Sweepstakes because his ticket didn't win.

Prof. Toru Tanaka

(2,959 posts)
22. This is the first time I have ever heard of the "996 working hour system".
Wed Apr 22, 2026, 09:22 AM
Apr 22

He reminds me of that odious little pharma bro Martin Shrkeli.

John1956PA

(5,119 posts)
20. A few years ago, it would have difficult to imagine these crypto grifts.
Wed Apr 22, 2026, 09:18 AM
Apr 22

1. Trump's meme coin debuted on January 18, 2025, at a price of around fifty dollars per coin. It immediately shot up value, and then quickly descended. The insiders made billions. The fund charges a commission on all trades. Shortly after its debut, the price per coin had dropped to about ten dollars. It steadily declined after that. Today, the price is about three dollars per coin.

2. Trump's and his sons' World Liberty Financial debuted around August 25, 2025, at about thirty-five dollar per share. It steadily descended to under two dollars per share where it sits now.

3. Around September 2, 2025, Trump sons' American Bitcoin, Incorporated, debuted around fifteen dollars per share. That night, Eric bragged about his gain, which was over one billion dollars. Afterward, the price steading declined. It is now at about two dollars per share.

sarchasm

(1,316 posts)
21. Couldn't have happened to a nicer guy!
Wed Apr 22, 2026, 09:19 AM
Apr 22

TFG doesn’t think twice to sink his spawn right out of the gate, no doubt some kind of coming of age lesson. They’ll inherit his legacy for certain, and that will surely include massive debts after a restored SEC and DOJ gets its footing. All things we here at DU know all too well, but it feels good to say it again, and again.

ProudMNDemocrat

(20,982 posts)
23. The DOMINOES are falling on the Trump regime.
Wed Apr 22, 2026, 09:24 AM
Apr 22

As well as the family businesses and BRAND NAME.

GOOD! Should have started sooner.

Bengus81

(10,368 posts)
24. LOL!! Maybe the SEC and others will go after Sun after dropping the investigation
Wed Apr 22, 2026, 09:28 AM
Apr 22

when he started buying Trumps BS crapto in 2025.

It's fucking FUN to watch con artists go after each other.

Vogon_Glory

(10,354 posts)
26. So a billionaire got snookered? I find that comfortining
Wed Apr 22, 2026, 09:51 AM
Apr 22

It’s nice to see Trump-supporting grifters and speculators lose money by putting it in Trump family schemes.

3825-87867

(2,018 posts)
27. Amicable settlement will be reached...
Wed Apr 22, 2026, 10:00 AM
Apr 22

for pennies on the dollar to be paid by American Tax Payers or Saudis or Qataris or whomever and just long enough to keep the Epstein Files out of public view!

Maybe?

muriel_volestrangler

(106,599 posts)
29. He thinks his bribe to avoid prosecution was procured through fraud???
Wed Apr 22, 2026, 10:03 AM
Apr 22

Seems to me he knew what he was buying, what the price was, and that the people he paid had a long track record of continuing to screw anyone they felt they had a hold over. From September 2025:

One of the attendees at that event was the Chinese billionaire Justin Sun. In 2023, the SEC brought civil fraud charges against Sun, alleging the unregistered sale of crypto securities, market manipulation, and deceptive practices, such as paying celebrities to promote tokens without disclosing their compensation. In January, Sun purchased $75 million of $TRUMP with 75 percent of the profits ($56.25 million) going directly to the Trump family. The next month, court documents showed that the SEC had agreed to pause the case as they engaged in talks with Sun to resolve the claims. In July, Sun announced his intention to purchase $100 million more of $TRUMP. Recently, he complained on social media that his $WLFI coins (a different coin sold by World Liberty Financial) had been “unreasonably frozen,” but then announced that he would be purchasing even more $WLFI tokens. His case remains pending, but there is no indication the SEC is actively pursuing it.

https://www.brennancenter.org/our-work/analysis-opinion/political-donors-should-not-be-above-law

Since the SEC brought the charges in 2023, I'm satisfied there was a real case to answer, and his bribe to the Trump family indicates he was pretty sure he'd be found guilty. He chose to get into the "corrupt for life" boat, and can't jump out of it now.

kimbutgar

(27,555 posts)
40. I have no sympathy for anyone who would invest in a 🍊🐖💩 business venture knowing that in the past he has
Wed Apr 22, 2026, 11:44 AM
Apr 22

had to declare bankruptcy and has had several failed business ventures!

A great example of FAFO !

Vinca

(54,330 posts)
42. You'd think there had been no hint anywhere that Trump was and is a scam artist and a liar.
Wed Apr 22, 2026, 12:00 PM
Apr 22

Karasu

(2,070 posts)
44. The same supposed fraud that this regime has been using a catch-all excuse to defund and destroy every little thing
Wed Apr 22, 2026, 03:24 PM
Apr 22

they don’t fucking like? That fraud?

Hmm. Funny. You don’t say...

TexasBushwhacker

(21,289 posts)
46. One would think a billionaire would be smarter
Wed Apr 22, 2026, 03:45 PM
Apr 22

about his investments. Of course, billionaires can let their GREED for more cloud their judgement.

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