USD1 Stablecoin Accused of Secret Fund Transfer Backdoor

Justin Sun, founder of Tron (TRX), has raised concerns about World Liberty Financial's stablecoin USD1. He claims that its admin privileges allow operators to transfer tokens from user accounts without consent.

The permission structure allegedly enables the movement of USD1 from specific accounts to operator-controlled or third-party wallets, bypassing user approval.

Cold wallets and multisignature wallets are unable to block such transfers, creating a 'backdoor' that Sun says was implemented without WLFI token holders' approval.