escalated its dispute with Justin Sun into a potential legal battle late Sunday as tensions over its recent loan to a connected DeFi project spilled into public confrontation.
“Does anyone still believe in @justinsuntron?” the project wrote on X. “We have the contracts. We have the evidence. We have the truth. See you in court mate.”
Does anyone still think so @justinsuntron ?
Justin’s favorite trait is playing the victim while making baseless claims to cover up his own wrongdoing.
Same playbook, different goal. WLFI is not the first.
We have the contracts. We have the evidence. We have the truth.
See…
— WLFI (@worldlibertyfi) April 12, 2026
The legal threat came after Sun accused the Donald Trump-affiliated WLFI team of treating its users like personal ATMs after the latter deposited 5 billion WLFI tokens as collateral on DeFi lending platform Dolomite to borrow around $75 million in stablecoins.
“Any action taken by the WLFI team to extract fees from users and treat the crypto community like a personal ATM is illegitimate,” Sun wrote on Sunday.
In September, Sun had its WLFI tokens frozen along with the project alleging that the Tron founder was trying to sell tokens to cash out early. Sun denied the accusations, and data from the chain backs him up.
“Whoever is hiding behind this official account, come forward and identify yourself,” Sun wrote back to WLFI.
Whoever is hiding behind this official account, come forward and identify yourself. Any action taken by the WLFI team to secretly implant backdoor controls over user assets, to freeze investor funds without disclosure or due process, and to treat the crypto community as a…
— HE Justin Sun 👨🚀 🌞 (@justinsuntron) April 12, 2026
“As the largest investor in this project, I demand that those responsible come forward by name instead of hiding in the shadows,” he continued.
The clash marks a sharp escalation in a feud between WLFI and one of its earliest backers, moving the dispute from governance and capital use into open legal territory.
This animosity between the two is a starting contrast from last year, when WLFI credited Sun at Consensus Hong Kong for helping lift the project off a slow start.
“This guy,” said WLFI co-founder Zak Folkman on stage at Consensus, “saw that regardless of the outcome, this project is a monumental step forward for the entire crypto community.”
