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Senator seeks clarification from U.S. regulator regarding Justin Sun case., 2026/03/31 10:50:51
Senator Richard Blumenthal, a Democrat and member of the U.S. Senate Special Committee on Investigations, has requested further clarification from the U.S. Securities and Exchange Commission (SEC) regarding the closure of the case against Tron founder Justin Sun.
In a letter addressed to SEC Chairman Paul Atkins, he pointed out that the case was dismissed just days before the resignation of former enforcement director Margaret Ryan. The senator suggested that her departure might indicate potential pressure on agency staff during investigations involving cryptocurrency firms.
Blumenthal also highlighted a possible connection between the situation and political factors. The letter notes that Justin Sun invested in Donald Trump’s family platform, World Liberty Financial, and acquired tokens associated with the presidential meme coin TRUMP.
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The case against Sun was initiated during Joe Biden’s administration. The SEC accused related entities—Tron Foundation, BitTorrent Foundation, and Rainberry—of violating securities laws, unregistered sales of TRX and BitTorrent Token (BTT), as well as market manipulation, including undisclosed promotional campaigns involving celebrities.
In March, Rainberry agreed to pay $10 million to settle SEC claims, while Sun himself did not admit to or deny the allegations.
The senator has requested internal documents and correspondence between the leadership and the enforcement division regarding cryptocurrency matters, starting from January 20, 2025. He also demanded materials related to the Trump family to assess the potential influence of external factors on the decision to close the case.
Previously, several congress members stated that the sale of WLFI and TRUMP tokens to Justin Sun could create a conflict of interest and heightened risks for retail investors.
