Crypto Billionaire Accuses Trump Family's World Liberty of 'Criminal Extortion'
Crypto entrepreneur Justin Sun has filed a lawsuit against the Trump family's crypto venture, World Liberty Financial, alleging "criminal extortion" after the company froze his digital tokens when he declined to invest additional funds.
The suit, filed late Tuesday in a California federal court, states that Sun remains "an ardent supporter of President Trump and the Trump family," but contends that World Liberty's managers "see the project as a golden opportunity to leverage the Trump brand to profit through fraud."
The filing marks a sharp reversal for Sun, who was once among the most prominent public backers of the Trump-linked project. The Chinese-born billionaire alleges that World Liberty prevented him from selling WLFI tokens he began acquiring in late 2024, shortly after Trump's re-election. Sun's initial purchase totaled $30 million worth of WLFI tokens, making him the project's first major investor.
UK financial watchdog raids crypto traders' properties in London
The UK's Financial Conduct Authority conducted raids on eight properties across London as part of a criminal investigation into alleged illegal cryptocurrency trading by unregistered individuals, marking the regulator's first joint operation of this nature alongside police and customs officials.
The FCA said it issued cease-and-desist letters at each of the properties and gathered evidence to support its ongoing investigations. The action reflects the regulator's efforts to crack down on unauthorized crypto trading ahead of a broader regulatory framework for the sector, set to take effect in September 2027.
Crypto trading service providers have been required to register with the FCA and comply with its anti-money laundering rules since January 2020. The FCA confirmed that the individuals at the raided properties were engaged in peer-to-peer crypto trading, in which digital assets are exchanged directly between individuals rather than through a centralized exchange. The regulator noted that no peer-to-peer crypto traders or platforms in the UK are currently registered as required.
US soldier charged with making prediction-market bets on Maduro's seizure
Federal prosecutors have charged a US soldier involved in planning the January raid to capture Venezuelan leader Nicolas Maduro with placing prediction-market trades tied to the mission, reportedly earning more than $400,000 in the process.
According to a federal indictment unsealed Thursday, Gannon Ken Van Dyke allegedly used classified information to place bets on the prediction market platform Polymarket. Van Dyke, an active-duty soldier stationed at Fort Bragg in North Carolina, allegedly placed approximately 13 bets totaling $33,034 between December and January on positions including "US Forces in Venezuela" and "Maduro out" by January 31, while in possession of classified information.
After reportedly netting $409,881 in profits, Van Dyke allegedly transferred the majority of his winnings to a foreign cryptocurrency wallet and subsequently to a new online brokerage account.
