Justin Sun Becomes Largest Investor in Trump’s Crypto Project with $30M Investment
Justin Sun, the founder of the Tron blockchain, has emerged as the largest investor in World Liberty Financial (WLFI), a crypto project tied to former U.S. President Donald Trump.
Sun’s company, Tron, invested $30 million in the WLFI token, marking a significant step in the project’s development.
In a post on X (formerly Twitter) on November 25, Sun shared his enthusiasm: “We are thrilled to invest $30 million in World Liberty Financial as its largest investor. TRON is committed to making America great again and leading innovation,” he wrote.
The purchase was made through a wallet associated with HTX (formerly Huobi), a crypto exchange controlled by Sun. The transaction involved buying 2 billion WLFI tokens, priced at $0.015 each, boosting the token’s sales figures and helping to increase the project’s total sales to $52 million. However, this is still far from its target of $300 million.
Since its launch in mid-October, WLFI has struggled to generate interest, with sales hindered by restrictions that limit sales to non-U.S. persons and U.S.-accredited investors. Additionally, the tokens are non-transferable, meaning they cannot be resold, further dampening investor enthusiasm.
Despite the slow sales, Sun’s $30 million investment represents a significant milestone for the project, which is backed by Trump’s family. The platform’s white paper outlines that Trump’s company, DT Marks DEFI LLC, is entitled to 75% of the net revenues after the project hits $30 million in sales. With Sun’s investment, the project has now met that threshold.
Zak Folkman, co-founder of World Liberty Financial, expressed confidence in the project’s future, saying, “This sizable purchase of WLFI tokens underscores the early success of this project. We have seen several significant purchases in recent weeks, and we’re optimistic about what’s to come as we build a platform that promotes freer and fairer finance.”
Trump’s involvement in the project is also notable. He is listed as the platform’s “chief crypto advocate,” while his sons, Eric, Barron, and Donald Trump Jr., serve as “Web3 ambassadors.” The former president has previously expressed a desire to position the U.S. as the world’s “crypto capital,” promising to reduce regulatory oversight of the industry.
However, while Sun’s investment marks a high point for WLFI, the Tron founder himself has faced challenges with U.S. regulators. In March 2023, the U.S. Securities and Exchange Commission (SEC) sued Sun, accusing him of selling the TRX token as an unregistered security and manipulating the market through wash trading. Sun has denied the allegations.
Tron, despite its legal battles, has seen some market success, with its TRX token up 84% this year. However, it recently dropped 5.5% in a 24-hour period, hovering below 20 cents per token. The token peaked at 23 cents in January 2018 but remains down by about 15% from that high.
As for the future of World Liberty Financial, the backing from prominent figures like Sun and the Trump family, along with the significant purchase of WLFI tokens, could help drive the project forward. However, only time will tell whether it can meet its ambitious financial goals.
