Justin Sun Addresses TUSD Financial Concerns Amid Legal Dispute

According to BlockBeats, Justin Sun clarified in an interview with Sing Tao that Techteryx Ltd. is not part of his business holdings. When asked about his involvement, Sun explained that TUSD has a global user base of 5 million, and any inability to convert TUSD to cash could trigger a significant financial crisis. Sun expressed shock upon learning about the situation, describing it as a "shattering of his worldview." He criticized the unauthorized transfer of user assets by financial institutions, questioning how large sums could be moved overseas without client consent. Sun emphasized the need for government, banking, and securities regulators to address these vulnerabilities, warning that Hong Kong should not become a haven for financial fraud while recognizing the potential of Web 3 companies. Previously, Techteryx Ltd., the investment company behind the stablecoin TrueUSD (TUSD), filed a lawsuit in the Hong Kong High Court against First Digital Trust (FDT) CEO Adrian Lai and a licensed fund manager from Singapore, Yai Sukonthabhund. They are accused of conspiring with multiple companies to fraudulently obtain over $500 million, equivalent to approximately 3.9 billion Hong Kong dollars, in trust deposits from the plaintiff and the public. Techteryx had entrusted $500 million in reserve funds to FDT, which were subsequently invested in a Cayman Islands fund. This fund did not issue any investment-related share certificates to FDT and, without Techteryx Ltd.'s knowledge, transferred at least $456 million of the reserve funds to an offshore private company named Aria DMCC in Dubai as an unsecured loan. The Cayman fund has refused to redeem or repay the funds to Techteryx Ltd.