As of March 22, the Securities and Exchange Commission (SEC) has accused Justin Sun, the founder of Tron (TRX) and a Grenadian ambassador, of fraud and market manipulation.

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Further, according to SEC Chair Gary Gensler, the CEO made "millions in unlawful gains" at the expense of US investors. Sun, according to his other accusations, "organized wash trade on an unregulated trading platform to give the deceptive image of active trading in TRX."

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This case highlights again the elevated company faced when crypto asset assets are issued and sold without sufficient disclosure. [Sun] planned a marketing effort in which he along with his star marketers concealed the fact that the stars received payment for their tweets.

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Justin Sun, the creator of Tron (TRX) and a Grenadian ambassador, has been charged by the Securities and Exchange Commission (SEC) with fraud and market manipulation as of March 22.

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Also, the CEO reaped "millions in illicit gains" at the cost of US investors, according to SEC Chair Gary Gensler. Sun "arranged wash trade on an unlicensed trading platform to give the false impression of active trading in TRX," according to his additional allegations.

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This instance emphasizes once more the serious business issues that arise when cryptocurrency assets are created and sold without adequate disclosure. [Sun] devised a marketing strategy in which he and his celebrity marketers hid the fact that the celebrities were paid for their tweets.

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He stated the SEC Chair.

In response to the claims, the CEO said he did not prioritize profitability.

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I want it to be known that I have no foes. The goal of TRON is to make life better and more decentralized for all 8 billion people living on the planet, including those who disagree with us. We are unwavering in the pursuit of our objective because it is the right thing to do, not because it will be financially rewarding.

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He stated in a recent tweet.

The regulatory body may have "hit gold" in the instance of Justin Sun, though, as the cryptocurrency tycoon frequently pushed coins to his advantage and participated in unethical behavior.

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Shady business of Justin Sun

After purchasing BitTorrent, a slow-moving cryptocurrency exchange at the time, Sun was dubbed the "hype man of the century" in 2020. He then encouraged his fans to join the ban "bandwagon by promoting BTT and TRX on his social media sites.

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According to sources, Sun was busted in the middle of several other scandals, including "giving away Tesla automobiles" and spending millions on a "showy power lunch," as well as introducing goods that inadvertently encouraged "piracy and items that exploited pornography."

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Moreover, Sun bought the Huobi exchange, ominously just before a 90% price increase in Q4 2022. The founder of Tron reportedly told Trade Algo that he already owned "tens of millions of HT (Huobi Token)," according to cryptocurrency reporter Colin Wu.

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HT has increased by 86% over the past week. Justin Sun probably acquired the HT that Huobi held when he bought Huobi.