Sun Yuchen wins court support in WLFI dispute, personal claims to be publicly heard

Sun Yuchen stated that his lawyer recently appeared in federal court in California to oppose World Liberty Financial (@worldlibertyfi)'s request to force the dispute into confidential arbitration and seal documents. The court ruled that all of Sun Yuchen's personal claims will continue to be heard in open court; at the same time, it rejected the suggestion to submit all company-related claims to arbitration and required both parties to negotiate which claims will remain in court and which will go to arbitration. Sun Yuchen called this a significant victory, emphasizing that token holders have the right to know how the project treats its trusters.

Sun Yuchen stated that as one of the earliest and largest investors in World Liberty, he invested $45 million to obtain $WLFI tokens. The lawsuit alleges that after this investment helped raise approximately $550 million in token sales, the project secretly embedded a backdoor in the smart contract that could unilaterally freeze, restrict, or destroy token holders' tokens, and based on this, illegally seized his tokens, even threatening him with criminal reports during his rights protection efforts. The lawsuit claims damages amounting to hundreds of millions of dollars. He has previously obtained a court injunction prohibiting the other party from destroying or disposing of his tokens.

Sun Yuchen also stated that World Liberty similarly embedded backdoor capabilities in its USD1 stablecoin and mentioned that the project had pledged a large amount of $WLFI tokens as collateral in Dolomite lending, as well as public information regarding co-founder past lawsuits related to Dough Finance, expressing concerns about the project's solvency and transparency, urging investors to conduct their own due diligence and remain cautious. The above content is all his unilateral statements and accusations.