World Liberty Financial’s native token staged a comeback after the project blacklisted Tron founder Justin Sun’s token holdings of 595.109 million WLFI tokens.
Sun remarked,
According to CryptoSlate’s data, WLFI value rose by nearly 4% in the last 24 hours to $0.18754 from an all-time low of $0.1632. The price uptrend added around $500 million to the project’s market capitalization, which stood at $4.6 billion as of press time.
CoinGlass data shows that crypto traders speculating on WLFI lost $17 million due to the digital asset’s volatile price swings.
Meanwhile, WLFI’s price performance has led to a 50% rise in the token’s open interest volume to $7.2 billion at the time of writing.
These developments mark a significant turnaround of fortunes for a digital asset that has lost around 70% of its value since it started trading on Sept. 1.
Sun vs WLFI
On Sept. 4, the WLFI team blocklisted a wallet address belonging to Sun that held 595.109 million WLFI tokens worth nearly $104 million.
According to Onchain Lens, the WLFI team allegedly blocked Sun’s wallet due to allegations that an exchange connected to him had been using customer tokens to suppress the asset’s price. The reports remained unconfirmed as of press time.
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These rumors began after wallets connected to Sun transferred over $10 million worth of WLFI tokens to exchanges. Conor Grogan, a Coinbase executive, had flagged a transaction on X, saying:
However, Sun defended the transactions and described them as “a few general exchange deposit tests with very small amounts, followed by an address dispersion.” He added:
Sun slams WLFI
Following these actions, Sun criticized World Liberty Financial’s blocklisting of his tokens in a Sept. 5 statement shared on X as “unilateral” and “unreasonable.”
According to him, the President Donald Trump’s crypto venture actions violated the “legitimate rights of investors,” while adding that such decisions could damage investor confidence in the project.
He wrote:
Nansen CEO Alex Svanevik also defended Sun by pointing out that the crypto billionaire was not responsible for the WLFI’s initial price decline when the timestamps of his transactions are scrutinized.
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Source: https://cryptoslate.com/world-liberty-financials-wlfi-token-rebounds-4-after-blocking-justin-suns-100m-tokens/
