Tron Creator Justin Sun Sues Bloomberg to Prevent Disclosure of Cryptocurrency Assets

Tron founder Justin Sun has initiated legal proceedings in the US District Court for the District of Delaware, aiming to prevent Bloomberg from disclosing what he describes as highly sensitive information regarding his cryptocurrency assets.

The blockchain entrepreneur asserts that such a revelation would infringe upon his privacy and jeopardize the safety of himself and his family.

In his complaint, Sun claims that Bloomberg contacted him earlier this year to include him in its online Billionaires Index, which ranks the wealthiest individuals globally.

Sun Claims Crypto Holdings Were to Be Presented Only as a Total

Prior to consenting, he states that Bloomberg guaranteed that any asset details he shared would remain “strictly confidential.” He emphasizes that this assurance particularly pertained to his cryptocurrency holdings, which would solely be utilized to confirm his net worth.

Source: Sun v. Bloomberg, L.P., 1:25-cv-01007

Sun, who established Tron in 2017 and possesses significant crypto and other assets, states that he ultimately agreed based on these assurances.

He transmitted comprehensive wallet and asset information through a secure channel with Bloomberg’s wealth verification team. His understanding, he asserts, was that any mention of his crypto assets in his profile would be restricted to a total valuation, without a detailed breakdown by token type.

Bloomberg has opted not to comment on the situation.

Allegations of Breached Confidentiality with Draft Profile Release

The filing indicates that several Bloomberg journalists reaffirmed this confidentiality in writing, stating that the information would remain on internal systems and be accessible only to a limited number of staff members. They also confirmed that it would be deleted following verification.

Sun’s team set forth explicit conditions in March, asserting that the information was “for verification purposes only” and “must not be used for any other purpose, including reporting.” Furthermore, the lawsuit claims that Bloomberg did not contest these stipulations.

In late July, Sun’s team discovered that a Bloomberg journalist was utilizing figures from the confidential information for a different article.

Simultaneously, Bloomberg provided a draft profile for the Billionaires Index that included what Sun characterizes as “numerous inaccuracies” and, crucially, a detailed breakdown of his cryptocurrency holdings by type and quantity.

Granular Crypto Data Could Enable Trackers to Link Wallets, Filing Asserts

Sun contended that such detailed disclosure is atypical for Bloomberg’s index. Additionally, he noted that it exceeds what is disclosed for other crypto billionaires, such as Coinbase’s Brian Armstrong or Binance’s Changpeng Zhao. He remarked that these specifics are not shared unless the individuals have previously made them public.

He argued that the intended publication would enable blockchain trackers to associate his wallets. Consequently, he believes this could render him a prime target for hackers and thieves. Furthermore, he cautions that it could even expose him to potential physical threats.

The filing highlights that the transparency of public blockchains makes it relatively straightforward to identify large wallets once the asset composition is disclosed. It also references past instances where affluent crypto holders encountered kidnapping or extortion attempts. Additionally, it cites Bloomberg’s own previous reporting on these dangers.

Sun Claims Asset Breakdown Could Have Long-Term Implications Beyond One Article

Sun is pursuing legal action on two grounds: public disclosure of private facts and promissory estoppel. He asserts that Bloomberg’s intended publication clearly violates the assurances that persuaded him to share the information. He adds that the potential harm could be both financial and physical, given that crypto transactions are irreversible and stolen funds can be swiftly transferred.

The lawsuit seeks a temporary restraining order, along with preliminary and permanent injunctions to prevent Bloomberg from publishing the breakdown. Additionally, it requests reimbursement for legal expenses. Sun has also called for a jury trial.

For Sun, whose public persona is closely linked to Tron and other enterprises, this case represents more than just media exposure.

It addresses a fundamental conflict in the crypto space between the transparency of blockchain data and the personal safety of high-value holders. Sun asserts that disclosing his detailed holdings could lead to repercussions that extend far beyond a single news article.

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