Circle Denies Claims of Illicit Financing and Ties to Tron Founder Justin Sun
USDC stablecoin issuer Circle has come forward to refute allegations of illicit financing and connections to Tron founder Justin Sun. In an open letter accessed from Circle’s blog, the company denies the claims made by the Campaign for Accountability (CfA) and sets the record straight.
The letter, addressed to US senators Elizabeth Warren and Sherrod Brown, was signed by Circle’s Chief Strategy Officer and Head of Public Policy, Dante Disparte. Disparte states that Circle recently became aware of false claims being made about the company by the CfA. He asserts that Circle does not facilitate or finance illicit actors such as Hamas and does not provide financial services to Justin Sun.
Disparte dismisses the accusation that Circle facilitated major funds to Hamas or Hezbollah, stating that these claims are based on unverified social media posts. According to the letter, only $160 was transferred in USDC among illicit wallets, and none of it was acquired from Circle.
Furthermore, Disparte clarifies that Circle terminated all accounts held by Justin Sun and his affiliated companies in February 2023. He emphasizes that neither Justin Sun nor any of his entities currently have accounts with Circle.
The open letter from Circle appears to be a response to a letter from the Campaign for Accountability. The CfA’s letter alleged that Circle has extensive ties to Justin Sun’s Tron Foundation and major Wall Street investors. It also claimed that Sun’s cross-chain protocol, SunSwap, is often used for money laundering.
These allegations come amidst the ongoing Israeli-Hamas war, which started on October 7. The media has reported claims of cryptocurrency being used to finance terrorism, with The Wall Street Journal initially stating that over $130 million in crypto had been donated to terrorist organizations. However, the publication later corrected its story, suggesting that $12 million “may have been” sent to these organizations.
Circle’s open letter seeks to clarify its position and deny any involvement in illicit financing or ties to Justin Sun. As the company continues to strive for transparency and accountability, it remains to be seen how these allegations will affect its reputation in the crypto space.