⁉️ Is Justin Sun in trouble?

Justin Sun is crypto's highest-profile hustler, but what happens when a hustler tries to hustle a hustler?

View this email in your browser Long-time readers of this newsletter may suspect that I believe Justin Sun is a bad-faith actor in the ecosystem, and I may even believe that his continued acceptance by key industry figures is damning for those figures. Most recently Sun has crossed World Liberty Financial, one of the cryptocurrency projects associated with the Trump family. It seems that he transferred a bunch of WLFI tokens from an address that might be TRON or might be HTX but is definitely associated with Sun to a variety of different exchanges, and in response, World Liberty Financial froze/blacklisted his tokens. Justin Sun clashes with World Liberty Financial over frozen WLFI This flare-up is especially noteworthy as Sun was the largest investor in World Liberty, and the Trump administration for its part has paused, but not dropped, the SEC case against Sun. Now that Sun's tokens are blacklisted, he has taken to X to claim that his tokens should be "inviolable" and to request that World Liberty eliminate these restrictions on Sun's tokens. This is not the only controversy that Sun has had to deal with, having to take to X earlier this week to explain why HTX was able to offer 20% APR on WLFI deposits. Justin Sun defends HTX while it lends 92% of its USDT on Aave As part of his defense, he pointed out that HTX has a proof-of-reserves process that should eliminate fears about how he is managing HTX. However, a close review of that proof-of-reserves raises huge issues, not the least of which is that 92% of all USDT included in those reserves are currently lent on Aave. Ether has 36% of its total lent on Aave and 60% of its total staked. Justin Sun reveals Poloniex issues prevent proof of reserves Over half of all bitcoin in the reserves is a tokenized bitcoin product issued by Sun-owned Poloniex, which refuses to disclose where it holds the collateral for these bitcoins, and where serious issues prevent a proof-of-reserves from being completed.  Taken as a whole, it starts to seem like Sun's ability to hop from plagiarism to lie to grift to scheme may be starting to break, and it may have broken because he tried to pull one last scheme on Trump, someone who has years of experience with lies, grifts, and schemes.   — Bennett Tomlin Protos Leaks ⬇️ See something, say something. Get more news with Protos Live 🔴 News and insights from across the web, curated for you by the Protos newsroom. In other news: Bitcoin treasury firm NAKA's shares and mNAV crashed 90% Did you know that once you have fallen 90%, you can still fall another 90%? Crypto streamer Gainzy nukes his own token 99% with one 'accidental' click Did you know that once you have fallen 99%, you can still fall another 99%? FriendTech now a ghost town as revenues fall 99.9% Did you know that once you have fallen 99.9%, you can still fall another 99.9%? Scoop: Bitfinex, Tether shareholder Harborne is Nigel Farage's top donor This is good for Bitcoin. BitMEX invested heavily in US lobbying before its pardon This is good for Bitcoin. Copyright © 2025 Protos, All rights reserved. You are receiving this email because you opted in via our website. Our mailing address is: Protos 272 Kensington High Street London, UK W8 6ND United Kingdom Add us to your address book Want to change how you receive these emails? You can update your preferences or unsubscribe from this list.