TechFlow News, May 4: World Liberty Financial (WLFI) announced it has filed a defamation lawsuit against Justin Sun. WLFI alleges that Blue Anthem—a company affiliated with Justin Sun—purchased $WLFI tokens in November 2024 and immediately engaged in violations, including transferring tokens to Binance. After WLFI froze the relevant tokens pursuant to the terms of sale, Justin Sun did not seek an amicable resolution; instead, he launched a coordinated smear campaign—spending money to hire influencers and deploy bots—to disseminate false information to over 4 million followers, falsely labeling WLFI’s governance as a “scam” and accusing it of containing a “backdoor,” with the intent of driving the token price “into the ground.”
WLFI stated that the token freeze functionality was explicitly disclosed in the terms of sale, that its governance mechanism is transparent and community-driven, and that it will pursue legal action against Justin Sun.
