COINOTAG recommends • Exchange signup |
💹 Trade with pro tools |
Fast execution, robust charts, clean risk controls. |
👉 Open account → |
COINOTAG recommends • Exchange signup |
🚀 Smooth orders, clear control |
Advanced order types and market depth in one view. |
👉 Create account → |
COINOTAG recommends • Exchange signup |
📈 Clarity in volatile markets |
Plan entries & exits, manage positions with discipline. |
👉 Sign up → |
COINOTAG recommends • Exchange signup |
⚡ Speed, depth, reliability |
Execute confidently when timing matters. |
👉 Open account → |
COINOTAG recommends • Exchange signup |
🧭 A focused workflow for traders |
Alerts, watchlists, and a repeatable process. |
👉 Get started → |
COINOTAG recommends • Exchange signup |
✅ Data‑driven decisions |
Focus on process—not noise. |
👉 Sign up → |
-
TRON founder Justin Sun has intensified his accusations against First Digital Trust, claiming serious misconduct that surpasses the infamous FTX debacle.
-
He alleges that FDT has misappropriated client funds worth $500 million, far exceeding the known mismanagement seen with FTX.
-
Sun asserts that unlike FTX, which at least created an illusion of structure, FDT blatantly siphoned off user assets with no consent.
Justin Sun demands action against First Digital Trust for alleged misconduct likened to the FTX crisis, calling for regulatory intervention and investigations.
Justin Sun Compares First Digital Trust to FTX
Sun criticized First Digital Trust (FDT), the issuer of the FDUSD stablecoin, arguing that their practices reflect a severe breach of trust. He emphasized that while FTX mismanaged its user funds, it at least maintained the appearance of a structured financial operation, albeit misleadingly.
Serious Allegations Against FDT’s Practices
According to Sun, FDT’s actions exemplify a fundamental violation of user trust, as he reported that the entity allegedly diverted around $456 million from TUSD custodial funds without any client authorization. This withdrawal was reportedly recorded as loans to a dubious entity in Dubai, lacking any collateral.
“FDT simply siphoned off $456m from TUSD’s custodial funds without client authorization or knowledge, and booked as loans to a dubious third party Dubai company without any collaterals,” Sun stated. This stark discrepancy in user asset management has raised alarms within the cryptocurrency community.
COINOTAG recommends • Professional traders group |
💎 Join a professional trading community |
Work with senior traders, research‑backed setups, and risk‑first frameworks. |
👉 Join the group → |
COINOTAG recommends • Professional traders group |
📊 Transparent performance, real process |
Spot strategies with documented months of triple‑digit runs during strong trends; futures plans use defined R:R and sizing. |
👉 Get access → |
COINOTAG recommends • Professional traders group |
🧭 Research → Plan → Execute |
Daily levels, watchlists, and post‑trade reviews to build consistency. |
👉 Join now → |
COINOTAG recommends • Professional traders group |
🛡️ Risk comes first |
Sizing methods, invalidation rules, and R‑multiples baked into every plan. |
👉 Start today → |
COINOTAG recommends • Professional traders group |
🧠 Learn the “why” behind each trade |
Live breakdowns, playbooks, and framework‑first education. |
👉 Join the group → |
COINOTAG recommends • Professional traders group |
🚀 Insider • APEX • INNER CIRCLE |
Choose the depth you need—tools, coaching, and member rooms. |
👉 Explore tiers → |
In contrast to FTX’s approach, which involved investing misappropriated funds in companies like Robinhood and AI startup Anthropic, Sun claims that FDT’s allocations were merely for personal enrichment. He expressed concern that FDT’s CEO, Vincent Chok Zhuo, has shown no urgency to address these allegations.
“Vincent Chok has acted deceptively and maliciously, pretending nothing happened when exposed,” Sun stated, further emphasizing the negligence in the leadership at FDT compared to the actions taken by the now-convicted founder of FTX, Sam Bankman-Fried.
COINOTAG recommends • Exchange signup |
📈 Clear interface, precise orders |
Sharp entries & exits with actionable alerts. |
👉 Create free account → |
COINOTAG recommends • Exchange signup |
🧠 Smarter tools. Better decisions. |
Depth analytics and risk features in one view. |
👉 Sign up → |
COINOTAG recommends • Exchange signup |
🎯 Take control of entries & exits |
Set alerts, define stops, execute consistently. |
👉 Open account → |
COINOTAG recommends • Exchange signup |
🛠️ From idea to execution |
Turn setups into plans with practical order types. |
👉 Join now → |
COINOTAG recommends • Exchange signup |
📋 Trade your plan |
Watchlists and routing that support focus. |
👉 Get started → |
COINOTAG recommends • Exchange signup |
📊 Precision without the noise |
Data‑first workflows for active traders. |
👉 Sign up → |
Urgent Call for Regulatory Action in Hong Kong
With the gravity of the allegations weighing heavily, Sun is urging the Hong Kong authorities to act decisively in addressing the issues surrounding FDT. Comparing the situation to the regulatory response seen during the FTX fallout, he stresses the necessity for immediate action to safeguard Hong Kong’s integrity as a leading financial hub. “Hong Kong must act like its US counterparts—swiftly, decisively, and effectively,” he remarked during public statements.
Furthermore, to aid authorities and promote transparency, Sun has initiated a $50 million bounty program aimed at uncovering information about FDT’s alleged fraudulent activities. Following this, he has also engaged in discussions with Hong Kong lawmaker Johnny Wu about potential regulatory measures to prevent further violations.
COINOTAG recommends • Traders club |
⚡ Futures with discipline |
Defined R:R, pre‑set invalidation, execution checklists. |
👉 Join the club → |
COINOTAG recommends • Traders club |
🎯 Spot strategies that compound |
Momentum & accumulation frameworks managed with clear risk. |
👉 Get access → |
COINOTAG recommends • Traders club |
🏛️ APEX tier for serious traders |
Deep dives, analyst Q&A, and accountability sprints. |
👉 Explore APEX → |
COINOTAG recommends • Traders club |
📈 Real‑time market structure |
Key levels, liquidity zones, and actionable context. |
👉 Join now → |
COINOTAG recommends • Traders club |
🔔 Smart alerts, not noise |
Context‑rich notifications tied to plans and risk—never hype. |
👉 Get access → |
COINOTAG recommends • Traders club |
🤝 Peer review & coaching |
Hands‑on feedback that sharpens execution and risk control. |
👉 Join the club → |
Conclusion
As the crypto landscape continues to evolve, Justin Sun’s claims against First Digital Trust depict a concerning scenario reminiscent of past financial mishandlings. With increasing scrutiny on regulatory frameworks, the actions taken by Hong Kong authorities in the coming weeks will be crucial to restoring confidence in the sector. Ensuring rigorous oversight can mitigate risks and protect investors from potential fraud.
COINOTAG recommends • Members‑only research |
📌 Curated setups, clearly explained |
Entry, invalidation, targets, and R:R defined before execution. |
👉 Get access → |
COINOTAG recommends • Members‑only research |
🧠 Data‑led decision making |
Technical + flow + context synthesized into actionable plans. |
👉 Join now → |
COINOTAG recommends • Members‑only research |
🧱 Consistency over hype |
Repeatable rules, realistic expectations, and a calmer mindset. |
👉 Get access → |
COINOTAG recommends • Members‑only research |
🕒 Patience is an edge |
Wait for confirmation and manage risk with checklists. |
👉 Join now → |
COINOTAG recommends • Members‑only research |
💼 Professional mentorship |
Guidance from seasoned traders and structured feedback loops. |
👉 Get access → |
COINOTAG recommends • Members‑only research |
🧮 Track • Review • Improve |
Documented PnL tracking and post‑mortems to accelerate learning. |
👉 Join now → |