Dubai Court Freezes $456M Linked to Justin Sun’s Bailout of TrueUSD Issuer Techteryx

Dubai’s Digital Economy Court has ordered a worldwide freeze on $456 million linked to a breach of trust involving TrueUSD, a stablecoin issuer. The dispute arises from claims that funds from TrueUSD’s reserves were improperly redirected to Aria Commodities DMCC, a Dubai firm owned by financier Matthew William Brittain. These funds were transferred between 2021 and 2022, raised concerns about liquidity when token holders attempted to withdraw their funds. Judge Michael Black KC noted serious issues to be tried, highlighting that Techteryx demonstrated a credible claim that the funds were held on constructive trust. He expressed concern about the risk of the assets being concealed or restructured to frustrate any potential judgment. This ruling represents the first freezing order from Dubai's Digital Economy Court, indicating the court's responsiveness to financial misconduct. The case raises significant questions about the management of stablecoin reserves and the responsibilities of financial intermediaries.

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