An Ethereum wallet tied to Tron founder Justin Sun was blacklisted by World Liberty Financial after moving more than $9 million worth of WLFI tokens, according to blockchain analytics.
At the time of writing, the WLFI token — the native token of the Trump family–linked World Liberty Financial DeFi project — traded around $0.1789, about 19% lower than 24 hours earlier. Exchange data show notable activity on South Korea’s Upbit and on Bybit.
Analytics firms Arkham and Nansen flagged the address as linked to Justin Sun. World Liberty Financial has not publicly explained the blacklist; one plausible reason is that early investors received token warrants or lockup agreements that restrict transfers during an initial period.
Sun posted on X in Mandarin saying the transfers were merely “exchange deposit tests,” that the amounts were small and that no buying or selling took place. Bubblemaps co-founder Nick Vaiman told reporters the on‑chain moves looked like internal transfers between wallets under the same control rather than an outright market dump. Another Bubblemaps analyst cautioned that sending tokens to an exchange address is not proof of a sale.
Context matters: early WLFI backers reportedly bought at about $0.015 per token and remain up more than 10x, while retail traders who bought when WLFI briefly traded above $0.33 are down roughly 45%.
Why this matters: Blacklisting is a governance lever that can limit liquidity and affect price transparency. Moves between wallets or to exchange addresses frequently trigger sharp market reactions. Market participants should treat WLFI as high risk, verify holdings and lockup terms where possible, and avoid assuming on‑chain transfers equal immediate sales.
Source: Decrypt. Read the original coverage for full details.