WLFI co-founder announces countersuit against Justin Sun

Zak Folkman, co-founder of World Liberty Financial (WLFI), has addressed the company's legal dispute with Tron (TRX) founder Justin Sun and a controversy over a $75 million loan from its ecosystem lending platform, Dolomite. Speaking at Consensus 2026, Folkman stated that WLFI was Dolomite's largest liquidity provider and had taken out a small loan against its collateral to boost the protocol's utilization, The Block reported. He asserted that Sun's lawsuit regarding token freezes and exclusion from governance is factually incorrect, adding that WLFI is preparing a defamation lawsuit and has hired the U.S. law firm Quinn Emanuel.