Justin Sun denounces Trump-backed WLFI as a 'personal ATM' after it borrows $75M on a platform its own adviser co-founded

- Tron founder Justin Sun, WLFI's largest outside backer with $75M invested, publicly accused the Trump-family venture of treating users as a "personal ATM" — a sharp reversal from his earlier vocal support of the project. - The criticism follows WLFI pledging 5 billion tokens on Dolomite, a DeFi lending platform co-founded by WLFI CTO Corey Caplan, to borrow $75M+ in stablecoins — with over $40M subsequently moved to Coinbase Prime. - WLFI previously blacklisted Sun's wallet after he transferred ~$9M in tokens, effectively freezing ~$100M of his holdings. Sun accused the project of hiding a backdoor freeze function in the token contract. - WLFI token has cratered to an all-time low of $0.08, an 82% decline from its September 2025 peak, as the insider-lending controversy and Sun's public break compound selling pressure.

TLDR by @Benthic

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