Justin Sun, TRON Founder, and the US Securities & Exchange Commission (SEC) have reached a settlement. The case was put on hold last year after US President Donald Trump assumed office. The settlement now awaits an approval of the court. Elizabeth Warren has criticized the deal in a statement to the media.
Settlement Between the SEC and TRON Founder Justin Sun
The settlement between the US SEC and Justin Sun is worth approximately $10 million. It looks to resolve the civil fraud case that was halted last year in February. Sun’s settlement with the Commission awaits approval from the court. Once settled, claims against Justin, BitTorrent Foundation, and Tron Foundation will be officially dismissed.
The allegations over Justin Sun and his companies ranged from illegally generating proceeds worth $31 million to creating a false image of legitimate trading. They are also alleged to artificially inflate trading volume and conceal payment to celebrity endorsers like Lindsay Lohan and Akon.
Brief History
The case was reported to be put on hold at the end of February 2025, informing the community that both sides would explore a resolution of the civil fraud case. He was, at that time, also accused of paying $6.2 million for a duct-taped banana network. A letter was submitted to U.S. District Judge Edgardo Ramos in Manhattan, citing the interests of both sides and the public as a reason.
Gary Gensler had brought the case to the table in 2023, with the SEC saying, at that time, that the scheme originally commenced in August 2017. The settlement, however, has gathered criticism due to alleged links between Justin Sun and WLFI token.
Criticism from Democrat
Elizabeth Warren, a Democrat on the Senate Banking Committee, has criticized the deal by saying that the Commission should not be a lap dog for billionaire buddies of Donald Trump. Her criticism stems from the fact that Justin Sun is one of the prominent buyers of the WLFI crypto token.
Taylor Rogers, a White House spokeswoman, has denied the allegation. Taylor has said that Trump is only motivated by what’s best for the people of America.
For now, the settlement between TRON Founder Justin Sun and the US SEC is waiting for court approval. The TRON price, for a quick reference, has surged by 0.46% over the last 24 hours and is now trading at $0.2861.
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