The motion is the latest turn in Tron founder Justin Sun's lawsuit over his frozen WLFI tokens. In a statement on X, Sun said his lawyers asked the court to sanction World Liberty Financial and its lawyers for disclosing only months into the case that the company is a UAE citizen.

World Liberty's original filing in April listed Florida as its sole citizenship. On August 26, days after a hearing that kept some of Sun's claims in federal court, the company named 22 entities in its ownership chain and citizenship in Florida, Delaware, Puerto Rico and the UAE, then argued the federal court could no longer hear the case.

Sun, who put $45 million into WLFI, says fighting the company's arbitration request cost him hundreds of thousands of dollars in legal fees.

Sun plans to refile his claims in California state court once the sanctions motion is resolved. World Liberty has rejected his earlier allegations over the token freeze.