Sun Woo ' s morning suit: A California Federal Court injunction has been issued against World Liberty Financial dealing with the alleged tokens

On 21 August, Sun Woo, the founder of the Wave, announced in a message on platform X that his team of lawyers had confronted World Liberty Finance in a hearing in the Federal Court of California in an attempt to transfer the dispute between the two parties to a secret arbitration to seal the case file, and that the court had upheld the claim that Sun Woo had been heard in public. The judge ruled that all of Sun ' s individual claims would be advanced in a public court, dismissed World Liberty ' s application for all company-related claims to be referred to arbitration, and ordered the parties to negotiate the delimitation of the claims before the court and the arbitration. Sun was the largest investor in the early days of World Liberty, and invested $45 million in the purchase of WLFI coins, which claimed that the investment-assistance project was worth $550 million. The indictment alleges that World Liberty, in the WLFI smart contract, pre-settled the door, could freeze, restrict and destroy the tokens unilaterally and without notice, without due process, and that the operation had been carried out on Sun ' s assets and threatened the transfer to criminal proceedings, in the present case for hundreds of millions of dollars, and that Sun had obtained a court injunction prohibiting the project party from disposing of the coins in question. Sun was further warned that the same kind of back-door function was being deployed by USD1, the stable currency issued by the project. In his tweets, Sun Sun also cited a number of risk questions, as World Liberty mortgaged nearly half of the treasury WLFI coins to its CTO joint lending platform, Dolomite, lending at least $75 million in assets, a model that was operated by industry-like FTX leverage; and disclosed that some of the project ' s core staff had operated the DeFi project Dough Finance, which had erupted with litigation about suspected asset appropriation. Sun has questioned World Liberty ' s solvency, suggesting that, apart from USD1 mortgage assets belonging to the user, the project has no capital to cover hundreds of millions of dollars of judgements, and referring to the fact that other aggrieved investors are prepared to initiate litigation, alerting the market to WLFI and USD1 and recommending that investors exercise due diligence。