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first_img Former Sonic CEO Michael Kong: Departure was not voluntary, the other party refused to fulfill the agreement

Former Sonic CEO Michael Kong posted a response to Sonic Labs' recent statement of "immediate termination of cooperation." He stated that the company still sought his assistance on the same day and expressed hope for his well-being, but the announcement did not specify the reason, leading to the misleading impression that "he may have been dismissed due to misconduct." Kong indicated that this departure was not voluntary; after working at Fantom/Sonic for over eight years, he negotiated and signed a severance and release agreement with Sonic Labs and its affiliates.Kong mentioned that for the past two and a half months, Sonic Labs repeatedly promised to fulfill the agreement but is currently refusing to do so, and the existing contractual agreements have also not been honored. The release agreement stipulates that both parties shall not publicly disparage each other, yet matters that should have been handled internally were made public by Sonic Labs, causing damage, which is why he chose to respond publicly. He noted that he had almost single-handedly won the company a lawsuit in South Korea worth approximately $150 million, which was described as one of the largest cryptocurrency disputes in South Korea, and cited a written evaluation from David Richardson, the owner of Fantom and Sonic, stating that his work should be appreciated by the foundation.Kong stated that he reserves all rights to make any claims against Sonic Labs and its affiliates.

first_img U.S. Senators Discuss Requirement for AI Companies to Fulfill Duty of Care

According to a report by Reuters, U.S. Senate negotiators are discussing legislation that would require artificial intelligence companies to demonstrate that they are taking reasonable precautions to prevent their tools from causing harm. The proposal aims to grant the U.S. Secretary of Commerce the authority to require developers to provide proof of reasonable steps taken to prevent harm, referred to as "duty of care," and to authorize the dispatch of government auditors to test relevant products. Reuters was unable to immediately determine what constitutes "reasonable," and the related legislation is still under discussion.Even if Congress passes the measure, its prospects of becoming law still face significant resistance. U.S. President Donald Trump stated on Monday that existing authorities are sufficient to regulate and prosecute technology companies, suggesting that he would not sign a bill that sets new rules for artificial intelligence. Senate Majority Leader John Thune, Senate Commerce Committee Chairman Ted Cruz, and Democratic Senator Amy Klobuchar, who is involved in the negotiations, are discussing the proposal. Thune told reporters on Monday that Congress could set safeguards against more significant threats without compromising the U.S.'s leading position in the artificial intelligence race.Klobuchar stated in a statement that she is continuing to push for bipartisan legislation to oversee the greatest risks posed by artificial intelligence models, including requiring developers to work with government experts to validate and test models to ensure safety. Senior Democratic member of the Commerce Committee Maria Cantwell is also involved in the discussions. Reuters reported on Friday that negotiators are also discussing the possibility that if the government determines that certain artificial intelligence models are unsafe and wishes to prevent their release, it could be brought to federal court, where companies could challenge that decision. The portion of the measure involving federal courts would also prevent states from enforcing their own laws regarding specific risks associated with artificial intelligence models.

first_img Trump's $800 million WLFI position enters unlock agreement, earliest sale in 2028

On-chain data shows that 1.4175 billion WLFI tokens, matching the holdings disclosed by U.S. President Trump, were transferred into a lock-up contract via a multi-signature transaction on May 19, establishing the first clear monetization timeline for his approximately $800 million holdings. Participants in this vesting plan must immediately burn 10% of the tokens upon entry and set a two-year cliff period, followed by a linear release over three years, with the earliest sale not possible until May 2028.On-chain data indicates that a total of six internal wallets transferred tokens into this contract, with the largest wallet depositing 1.575 billion WLFI, retaining 1.4175 billion after burning, consistent with Trump's disclosed holdings; two other wallets each deposited 375 million, and three wallets each deposited 225 million. This lock-up contract is currently the largest single holder of WLFI, holding 4.61 billion tokens, nearly half of the total supply. The total supply of WLFI has been reduced from a cap of 10 billion to 9.67 billion.This vesting plan was created through a governance proposal passed around May 6, with 11,537 wallets voting in support. Founders who hold tokens can choose to convert indefinite lock-up into a two-year cliff period plus a three-year vesting period, with participation being voluntary. A spokesperson for World Liberty Financial, David Wachsman, stated that the community voted in support of the founders burning tokens, and the co-founders transferred tokens into a smart contract to complete the burn, taking on the strictest lock-up conditions among all token holders.

first_img 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.
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