• TRON DAO wallet was blacklisted after transferring 54M WLFI worth $11M, freezing its remaining holdings.
• WLFI price fell from $0.32 to $0.18 after exchange rumors and multimillion-dollar token movements.
• Delegate rights for the TRON DAO wallet were revoked, restricting governance and trading participation.

World Liberty Financial carried out a contract-level blacklist action eight hours ago, targeting the TRON DAO wallet. The move was documented under address 0x5AB261B696217949D9AB91E86c51a5FDA74. Event logs show that the wallet’s status changed to “isBlacklisted: True,” cutting off its ability to move remaining holdings. The action directly restricted transfers and froze assets tied to the account.

Prior Activity and Token Movements

Confirmed via an X post by Spot on Chain, the TRON DAO wallet had acquired 3 billion WLFI tokens during the initial coin offering. Out of this allocation, 600 million tokens were unlocked and became eligible for transfers. On-chain records confirm that 54 million WLFI, worth about $11 million, were sent to new wallets. These transactions occurred before the blacklist was applied, leaving the rest of the holdings blocked.

🚨🚨 The World Liberty Finance (@worldlibertyfi) team blacklisted the TRON DAO wallet on the $WLFI token contract 8 hours ago.

The wallet (0x5AB261…) had previously bought 3B $WLFI via the ICO, unlocked 600M, and moved 54M $WLFI (~$11M) to new wallets.

By blacklisting the… pic.twitter.com/0DPjDgWgDA

— Spot On Chain (@spotonchain) September 5, 2025

Reports linked TRON founder Justin Sun to WLFI selling activity on exchanges, specifically HTX. The timing coincided with a heavy downward movement in WLFI’s trading price. The token debuted at $0.32 but dropped to $0.21, recording a 34 percent decline. After the initial fall, it stabilized near $0.18, showing continued pressure in the market. The rumored sales, combined with confirmed token transfers, aligned with investor concerns over excess supply entering circulation.

Delegation Rights Removed

Alongside the blacklist, contract logs displayed a “DelegateChanged” event for the same wallet. This entry confirmed that delegation rights were revoked from the account. The update left the TRON DAO wallet with no active delegation tied to WLFI governance or voting. The removal added another restriction, preventing any operational role within the token’s structure.

By enforcing the blacklist, World Liberty Financial effectively locked a significant portion of WLFI tokens. This action kept remaining tokens from entering secondary markets or exchanges. The freeze reduced the potential for further liquidity pressure tied to the TRON DAO wallet. The sequence of transfers, followed by the blacklist, created a traceable timeline of movements within a volatile trading period.

The combination of unlocked allocations, multimillion-dollar transfers, and exchange rumors weighed heavily on WLFI’s trading environment. Token stability weakened during this period, as market participants tracked both on-chain and off-chain developments. The frozen wallet balance represented one of the largest individual holdings, making the restriction an impactful decision. Contract data confirms the wallet is now unable to participate in further WLFI transfers.