Justin Sun Could Be the Next Sam Bankman-Fried, Analyst Claims

A prominent crypto YouTube channel, “Discover Crypto,” has argued that the HTX exchange, under the advisory of Tron founder Justin Sun, could be the next FTX amid the alleged scandals surrounding Justin Sun.

The channel host contented that Justin Sun is no different from Sam Bankman-Fried, the disgraced founder of the now-defunct FTX crypto exchange. He claimed Justin Sun is operating a giant house of cards and, therefore, a fall is imminent, just as in the case of Bankman-Fried.

Notably, the channel host emphasized that it has become pertinent to elaborate on the underhand activities of Justin Sun as he is behind a multi-billion dollar crypto project, Tron blockchain.

Drawing on the history of Tron’s initial coin offering (ICO) in 2017 for the TRX token, the channel highlighted Justin Sun’s earning over $70 million via the ICO despite the Chinese government’s ban on crypto ICO. The presenter claimed Justin Sun migrated to Korea after the ICO to evade prosecution. With this anecdote, the channel sought to establish that TRX was founded under “illegal circumstances.”

Furthermore, the channel host touched on the controversies surrounding Tron’s founder. He mentioned that Justin Sun and Tron Foundation had a 70-page document bordering on workplace harassment filed against them in 2019 in the United States. Per the disclosure, Justin Sun reportedly assaulted some personnel during office meetings and also exhibited favoritism toward Chinese employees.

In retaliation, the Tron Foundation allegedly manipulated personal files and corporate email addresses to orchestrate a cover-up scheme by falsely implicating the individuals who brought charges against them. Meanwhile, the Discover Crypto channel noted that although these allegations remain unproven, they undoubtedly tarnish the reputation of Justin Sun and his project Tron.

Furthermore, the channel highlighted that the U.S. regulator filed fraud and security law violation charges against Justin Sun this year. The SEC accused Sun and his entities of engaging in fraudulent manipulation of the secondary market for TRX through widespread wash trading.

The highlighted points, alongside other scandals surrounding Justin Sun, have made the Discover Crypto channel conclude that the Tron founder, as well as his associated crypto projects, could be heading down a path similar to Sam Bankman-Fried and FTX.