JustinSun孙宇晨

Hong Kong is at the center of a storm as the TrueUSD (TUSD) stablecoin scandal intensifies! 🌪️

Tron founder Justin Sun has launched a fierce attack on Hong Kong's trust ecosystem. He's calling for immediate legal reforms to stop any more abuse and bring back trust in the financial system. It's like sounding the alarm bells in the world of crypto finance! 🛎️

## 🧨 Justin Sun: “It Was a Fraud. I Had to Secretly Rescue TUSD.”
At a press conference on Thursday, Sun made some explosive claims. He said that multiple bad actors misappropriated TUSD reserves, and he had to step in quietly to stabilize the stablecoin. 😱
- “Licensed intermediaries pulled off a shocking fraud,” he declared, pointing his finger at those involved. 👈
- He was highly critical of Hong Kong's relaxed trust laws. It's like he's saying the rules are too loose and need a major tightening. 🛠️
- He also raised doubts about the integrity of the city's financial framework. It's as if he's questioning the very foundation of Hong Kong's financial world. 🏗️

Sun urged investors to stay away from Hong Kong trust companies for now and called on regulators to safeguard the city's global financial reputation. It's like he's trying to protect investors from potential harm. 🛡️
## 🏛️ Web3 Politician Backs Reform
Hong Kong legislator Johnny Ng, known as the “Web3 politician,” agreed with Sun's concerns. He acknowledged that several fraud cases involving trust firms have come to light this year and said that regulatory improvements are a must. It's like they're on the same page, pushing for change. 📃

## 🛑 First Digital Trust Denies All Allegations: “Sun Has No Proof.”
After Sun's statements, First Digital Trust (FDT) — the firm supposedly managing the reserves — held its own press event.
- CEO Vincent Chok said Sun hasn't provided even one piece of solid evidence. It's like he's challenging Sun to prove his claims. 🤨
- He emphasized that FDT acted based on instructions from Techteryx representatives, the issuer of TUSD. It's his way of saying they were just following orders. 📋
- The company is regularly audited and complies with its fiduciary duties, according to Chok. It's like they're trying to show they're in the clear. ✅

## 🔍 Suspicious Family Ties Between Two Aria Funds?
Chok admitted that he didn't know about a family connection between two entities involved in holding the TUSD reserves:
- Aria CFF – reportedly authorized, run by Matthew Brittain
- Aria DMCC – unauthorized, controlled by his wife, Cecilia Brittain

This family link, along with unclear ownership structures (KYC/AML), makes it more difficult to recover the funds, Chok pointed out. It's like a tangled web that's complicating things. 🕸️

## 💸 FDT Says FDUSD Redemptions Are Still Happening
Sun also claimed that FDT can't handle redemptions of its own stablecoin, FDUSD. But FDT firmly denied this.
- The token is fully backed and solvent, Chok stressed. It's like they're trying to reassure everyone that their stablecoin is safe. 🤝
- The firm shared on - chain data to prove that redemption activity is still going on. It's like showing receipts to prove their point. 🧾
- They're also thinking about taking legal action against Justin Sun. It's like they're ready to fight back. ⚔️

## 🧠 Bottom Line: Stablecoin War or Warning Sign?
This controversy has brought to light unclear ownership structures and regulatory weaknesses in Hong Kong's trust sector. It could potentially shake investor confidence across the entire crypto space. Whether it's a real case of fraud or just a battle of public relations, one thing is for sure: TUSD and FDUSD are now in the global crypto spotlight. It's a situation that everyone in the crypto world is watching closely. 👀

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⚠️ Disclaimer: The information and views in this article are for educational purposes only. Do not use them as investment advice. Investing in cryptocurrencies is risky. Always do your own research! 🕵️♂️🚨

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Justin Sun, founder of TRON and a key figure in the Web3 ecosystem, has accused First Digital Trust (FDT), the issuer of the FDUSD stablecoin, of mismanaging nearly $500 million in user assets. According to Sun, this act of financial misconduct could even surpass the infamous collapse of FTX in terms of recklessness and damage.
Sun's allegations focus on an unauthorized transfer of $456 million in user funds to a third party based in Dubai. He claims that the transfer was made without user approval and without safeguards, highlighting a disturbing lack of internal control mechanisms. Unlike FTX, which at least maintained the illusion of structure through secured loans, the alleged actions of FDT appear completely unregulated and opaque.