SEC Pauses Fraud Case Against Crypto Investor Linked to Trump Ventures

Justin Sun, a Chinese crypto entrepreneur who invested $75 million in Trump-backed crypto tokens, sees his legal battle with the SEC put on hold as questions of political influence arise.

The SEC and Justin Sun jointly requested a 60-day stay in the civil fraud case against him, which a federal judge approved this week.
Sun has invested $75 million in World Liberty Financial, a Trump family-backed crypto venture, sending over $50 million in revenue to Trump-owned entities.
The SEC previously charged Sun with selling unregistered securities, wash trading, and paying undisclosed celebrity endorsements for his crypto projects.
Critics raise concerns about potential corruption, noting the Trump administration’s recent actions to curtail investigations into corporate and political misconduct.
The SEC’s decision to pause the case comes alongside its dismissal of lawsuits against other crypto firms, sparking debate over regulatory leniency under Trump’s presidency.