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

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/