Two wallets associated with Justin Sun have been blacklisted by World Liberty Fi (WLFI), resulting in the freezing of a substantial amount of WLFI tokens. The blacklisting followed a transfer of 9 million WLFI tokens by Sun, raising concerns about potential selling activity as the token's value declined.

The specific details of the frozen assets include 540 million unlocked tokens and 2.4 billion vested locked tokens, which were subject to a long-term release schedule. The total value of the frozen tokens is estimated to be $500 million.

The blacklisting was confirmed by Arkham Intelligence, an on-chain data tracking platform. Following the public disclosure of the blacklisting, a wallet identified as HTX48 began returning WLFI tokens to the token's contract.

The move to blacklist Sun's wallets is considered drastic, given his status as a major backer of the project. He played a significant role in accelerating the presale rounds through large-scale purchases. Sun had also made commitments to hold onto WLFI and become a key supporter of World Liberty Fi.

According to reports, Sun moved WLFI tokens to HTX, an exchange he reportedly controls, shortly after receiving his unlocked tokens. HTX purportedly offered yields of up to 20% for holding WLFI. On-chain data revealed that two of Sun's wallets were blacklisted after a transaction that sent WLFI to an intermediary address.

World Liberty Financial has stated its belief that an exchange was using user tokens to sell and suppress WLFI's price, though the platform was not named.

WLFI is the governance token for World Liberty Financial, a crypto venture with ties to the Trump family. WLFI gives holders voting rights on governance issues. The company cautions that WLFI should not be acquired as an investment for speculative purposes.

The token began trading on secondary markets on Monday, September 1, 2025, allowing early investors to sell their holdings. The token reached a peak of $0.331 but has since declined.

World Liberty Financial was "inspired by the vision of Donald J. Trump" and lists him as a co-founder emeritus. Donald Trump Jr., Eric Trump, and Barron Trump are also credited as co-founders.

In an effort to boost the token's price, World Liberty Financial initiated a token burn, removing 47 million WLFI tokens from the supply. The company also proposed a token buyback and burn program using protocol-owned liquidity fees.

At launch, 22.5 billion WLFI tokens were given to DT Marks DEFI LLC, a company 70% owned by Donald Trump, with the remainder owned by his family members.