Sun alleges that the Trump-linked crypto project wrongfully froze his WLFI tokens, stripped his governance rights, and threatened to burn part of his holdings. He is seeking a court order to unfreeze the tokens, block any burn or encumbrance, and award damages.

The dispute follows a broader fight over WLFI token terms. Reuters reported earlier this month that World Liberty proposed tighter lockups for early investors and a 10% burn on adviser tokens, which Sun opposed while claiming he could not vote against it because his assets were frozen.