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BumRushDaShow

(170,872 posts)
Wed Apr 22, 2026, 07:57 AM 20 hrs ago

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

Amethyst Ring

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

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

lastlib

(28,420 posts)
37. Even my MAGA brother, who was actually quite gifted.....
Wed Apr 22, 2026, 11:28 AM
17 hrs ago

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

gab13by13

(32,511 posts)
4. Krasnov got into crypto to launder money
Wed Apr 22, 2026, 08:11 AM
20 hrs ago

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

(7,861 posts)
5. From the same article
Wed Apr 22, 2026, 08:12 AM
20 hrs ago

“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

(20,701 posts)
13. Apparently this dude wasn't aware....
Wed Apr 22, 2026, 08:53 AM
19 hrs ago

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

tanyev

(49,429 posts)
19. Seems to be a theme.
Wed Apr 22, 2026, 09:17 AM
19 hrs ago
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

(37,920 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
18 hrs ago

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

(5,815 posts)
7. Something, something, "fool and his money"....
Wed Apr 22, 2026, 08:16 AM
20 hrs ago

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

William Seger

(12,489 posts)
34. Yup, any fool who bets #rump is an odds-on loser
Wed Apr 22, 2026, 11:05 AM
17 hrs ago

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

Volaris

(11,752 posts)
14. Claims the dude who runs a rose garden and says he couldnt tell the difference.
Wed Apr 22, 2026, 08:55 AM
19 hrs ago

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

niyad

(133,200 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
19 hrs ago

both of us, as I have none.

niyad

(133,200 posts)
15. I read that last quoted paragraph three times. Reading hieroglyphs would
Wed Apr 22, 2026, 09:01 AM
19 hrs ago

make more sense.

FakeNoose

(41,989 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
16 hrs ago

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

(2,942 posts)
22. This is the first time I have ever heard of the "996 working hour system".
Wed Apr 22, 2026, 09:22 AM
19 hrs ago

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

John1956PA

(5,031 posts)
20. A few years ago, it would have difficult to imagine these crypto grifts.
Wed Apr 22, 2026, 09:18 AM
19 hrs ago

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

(1,315 posts)
21. Couldn't have happened to a nicer guy!
Wed Apr 22, 2026, 09:19 AM
19 hrs ago

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

(20,959 posts)
23. The DOMINOES are falling on the Trump regime.
Wed Apr 22, 2026, 09:24 AM
19 hrs ago

As well as the family businesses and BRAND NAME.

GOOD! Should have started sooner.

Bengus81

(10,254 posts)
24. LOL!! Maybe the SEC and others will go after Sun after dropping the investigation
Wed Apr 22, 2026, 09:28 AM
19 hrs ago

when he started buying Trumps BS crapto in 2025.

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

Vogon_Glory

(10,327 posts)
26. So a billionaire got snookered? I find that comfortining
Wed Apr 22, 2026, 09:51 AM
18 hrs ago

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

3825-87867

(1,984 posts)
27. Amicable settlement will be reached...
Wed Apr 22, 2026, 10:00 AM
18 hrs ago

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

(106,389 posts)
29. He thinks his bribe to avoid prosecution was procured through fraud???
Wed Apr 22, 2026, 10:03 AM
18 hrs ago

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

(27,375 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
16 hrs ago

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

A great example of FAFO !

Vinca

(54,159 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
16 hrs ago

Karasu

(2,055 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
13 hrs ago

they don’t fucking like? That fraud?

Hmm. Funny. You don’t say...

TexasBushwhacker

(21,248 posts)
46. One would think a billionaire would be smarter
Wed Apr 22, 2026, 03:45 PM
12 hrs ago

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

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