Crypto Mogul Justin Sun sues Trump linked company for financial fraud

Billionaire crypto investor Justin Sun has filed a lawsuit against World Liberty Financial, a company linked to US President Donald Trump and his family. Sun claims the company committed fraud and broke a contract by freezing his investment.

As per reports, Sun says he invested about $45 million in the company because of its connection to the Trump family. However, he now accuses some company operators of using illegal methods to take control of his assets. 

According to the lawsuit, Sun suffered huge financial losses. The lawsuit also claims that the company froze his digital tokens to pressure him into promoting another product called USD1, a stablecoin. Sun says this act was a form of criminal extortion.

World Liberty Financial has denied all the accusations. Eric Trump reportedly called the lawsuit ridiculous, and cofounder Zach Witkoff said the claims are completely without merit. The company says it will fight the case and expects it to be dismissed soon.

Justin Sun is a well known figure in the cryptocurrency world. In 2023, US regulators accused him of fraud and market manipulation. Earlier this year, he agreed to pay $10 million to settle a civil fraud case.