Justin Sun, the founder of Tron, recently took to X to maintain his accusations against First Digital Trust, a crypto custodian and issuer of the FDUSD stablecoin located in Hong Kong, alleging that it has executed a $500 million embezzlement plan.
In an extensive message on X, Sun reiterated that FDT and its purported accomplices misappropriated nearly half a billion dollars in client assets through unauthorized investments and fraudulent changes in address.
Sun claims that FDT, along with Aria DMCC—a commodities firm based in Dubai—and other companies like Finaport and TrueCoin, misled the stablecoin issuer Techteryx into relocating $456 million to Aria DMCC under the pretext of a valid investment.
Rather than being invested in the approved Aria Commodity Finance Fund in the Cayman Islands, the redirected funds were sent to an unrelated entity managed by Cecilia Brittain, the spouse of the ACFF manager, Matthew Brittain.
“This mirrors an address replacement attack in cryptocurrency,” Sun expressed (the post was translated), likening the scheme to traditional fraud techniques in blockchain where a wallet address is switched to mislead fund transfers.
He also referenced various individuals purportedly involved, including FDT’s CEO Vincent Chok and Aria’s Alex De Lorraine, whom he claims benefited from undisclosed kickbacks totaling millions.
In an effort to hide the misappropriation, Sun alleges that the transaction was subsequently mischaracterized as a subscription to a fund, making it appear legitimate. He further claimed that at least $15.5 million of the diverted funds ended up in a Hong Kong account referred to as “Glass Door.”
Defamation lawsuit
Earlier, FDT filed a defamation lawsuit, charging Sun with spreading false and harmful assertions regarding its financial status. This legal action, taken in the High Court of Hong Kong, aims to secure an injunction against Sun from reiterating the allegations, seeking retractions and compensation.
Following Sun’s initial insolvency claims, the firm’s FDUSD stablecoin briefly lost its peg but has since stabilized.
Despite facing legal challenges, Sun has remained steadfast in his accusations, organizing a press conference and urging regulators to investigate the trust sector in Hong Kong. No court hearing date has been established yet.