Crypto entrepreneur Justin Sun filed a lawsuit late Tuesday in California federal court against World Liberty Financial, the Trump family's crypto venture, accusing it of “criminal extortion.” Sun alleges the company froze valuable digital tokens belonging to him after he refused to invest additional money with the venture.

Sun claims he lost out on $276 million when World Liberty blocked him from cashing out an early investment. The lawsuit states that despite being “an ardent supporter of President Trump and the Trump family,” Sun alleges World Liberty’s managers “see the project as a golden opportunity to leverage the Trump brand to profit through fraud.”

The lawsuit marks a significant escalation in the controversy surrounding World Liberty Financial, which has faced mounting scrutiny over its business practices since launching. Sun is seeking damages for the alleged token freeze, adding to the legal challenges facing the Trump-affiliated crypto enterprise.