WLFI: Possible CEX Transfer of User WLFI for Dumping, Team Initiating Investigation

BlockBeats News, September 7th, WLFI Growth Lead Ryan Fang stated in an interview on Thursday night that, "The WLFI team believes that some whale token holders may have manipulated the price, essentially to lock in profits. The WLFI team is convinced that in a world where a centralized exchange holds a large amount of user funds, some exchanges may attract user tokens and actually send the user tokens (referring to WLFI tokens) to other exchanges for sale. Once again, we are still exploring and discovering this issue and believe that the above situation is likely to have occurred. Now, imagine this: suppose a large exchange holds a significant amount of user assets and transfers a large amount of user assets to another exchange that may have better liquidity, while also opening a very large short position, this is a possibility."

"In fact, on Thursday, some community members have been notifying the team that they believe what I just mentioned is possible, which would be a huge case of systemic manipulation. The WLFI team will investigate and believe that significant damage has likely been done in the past few days, but again, the team does not yet have detailed evidence on this information."

On Thursday night, the WLFI token price hit a recent low of $0.1611 and has since rebounded to $0.2237;

Early Friday morning, World Liberty blacklisted Justin Sun's address, locking 540 million unlocked tokens and 2.4 billion locked tokens;

In the past week, WLFI blacklisted 272 addresses, with on-chain records showing that some were part of a bulk blacklisting operation. WLFI stated on Saturday that the blacklisting of 272 addresses was to protect user asset security and would never ban accounts for normal market participation.