SEC Case Against Justin Sun Ends, but Sahil Arora Claims He Has Proof of $4M Celebrity Deals

Sahil Arora alleges that more than $4 million was spent on celebrity promotions for Justin Sun’s TRON ecosystem and BitTorrent’s BTT token in 2021 and 2022. On Nov. 8, he published purported Telegram conversations and a celebrity pricing sheet on X, saying the material supports his account of acting as an intermediary in the deals.

The claims surfaced eight months after a federal court dismissed the remaining Securities and Exchange Commission claims against Sun and two foundations associated with his cryptocurrency businesses. A March 9, 2026, judgment dismissed all claims against Sun, Tron Foundation Limited and BitTorrent Foundation Ltd. with prejudice. Rainberry Inc. was ordered to pay a $10 million civil penalty and permanently enjoined from violating Section 17(a)(3) of the Securities Act in the conduct specified in the order. The judgment did not address Arora’s allegations.

Arora Alleges $4 Million in TRON Celebrity Promotions

Arora says he connected people in Sun’s network with celebrities approached to promote TRX and BTT. He alleges that payments were made in Tether (USDT), a stablecoin designed to track the US dollar, over the TRON network. Arora has also alleged that Sun sold portions of his token holdings during periods of rising prices. The material published so far does not independently establish those sales or connect them to the celebrity promotions.

A purported pricing sheet dated Dec. 20, 2021, lists DJ Khaled at $185,000, Nicki Minaj at $85,000 and Addison Rae at $75,000, with each fee denominated in USDT. The figures, reported by French cryptocurrency publication Journal du Coin in its examination of material Arora posted, total $345,000.

That amount is substantially below the more than $4 million Arora says was spent. The three entries show proposed or listed rates, not verified payments. The screenshot does not establish whether the celebrities accepted the terms, completed promotional work or received the amounts shown.

Telegram Messages Reference Earlier Celebrity Endorsements

A separate screenshot shows a Telegram conversation dated Jan. 13, 2022, in a group identified as “Sahil <> TRON community”. Arora refers to earlier promotional activity and shares links to social media posts by Lindsay Lohan, Ne-Yo and Jake Paul. Those posts appeared in February 2021, nearly 11 months before the conversation. SEC records confirm that Lohan and Ne-Yo published the relevant posts on Feb. 11, 2021. Paul’s post appeared the following day.

The chronology does not establish that Arora arranged or paid for those earlier posts. An account displayed as “Sun” also appears in the screenshots, but the published material does not establish who controlled it or whether it belonged to Justin Sun.

Journal du Coin’s examination provides a description of the screenshots, not independent authentication of the original Telegram accounts or the transactions they appear to discuss. The material published by Arora does not include original chat exports, verified account identifiers, executed agreements, invoices or transaction records that would establish the alleged payments.

SEC Previously Accused Sun of Undisclosed Celebrity Promotions

The claims revisit issues raised in the SEC’s March 22, 2023, lawsuit against Sun, Tron Foundation Limited, BitTorrent Foundation Ltd. and Rainberry Inc. The regulator accused Sun and his companies of offering and selling TRX and BTT as unregistered securities, manipulating TRX trading volume through wash trading, and arranging celebrity promotions without disclosing compensation.

In a separate announcement, the SEC identified eight celebrities it accused of promoting TRX and/or BTT without disclosing that they had been paid: Lohan, Paul, Soulja Boy, Austin Mahone, Kendra Lust, Lil Yachty, Ne-Yo and Akon. Six settled at the time, paying more than $400,000 collectively in disgorgement, interest and penalties without admitting or denying the allegations.

Separate SEC proceedings identified a $10,000 payment to Lohan and approximately $25,019 in cryptocurrency compensation to Paul. Those records establish that the regulator pursued undisclosed-promotion cases involving the celebrities. They do not establish Arora’s role in the arrangements or substantiate his claim that more than $4 million was spent.

Court Dismisses Remaining SEC Claims Against Sun

The parties jointly sought a pause in the litigation on Feb. 26, 2025. The court granted a stay the following day. On March 9, 2026, it entered a final judgment dismissing with prejudice all remaining claims against Sun, Tron Foundation Limited and BitTorrent Foundation Ltd.

The judgment ordered Rainberry to pay a $10 million civil penalty and permanently enjoined the company from violating Section 17(a)(3) of the Securities Act in the conduct specified in the order. It also dismissed the remaining claims against Rainberry. The company consented to the judgment without admitting or denying the complaint’s allegations concerning the settled claim.

The resolution ended the SEC litigation against Sun and the two foundations. It did not determine whether Arora’s separate account of the celebrity promotions was accurate.

Payment Trail Remains Unverified

Arora’s claim that payments moved in USDT over the TRON network could be examined against blockchain records. But identifying transfers would be only the first step. Investigators would also need to establish who controlled the wallets, identify the recipients and connect the transactions to specific promotional arrangements. A transfer alone does not establish its purpose or who ultimately received the money.

The same evidentiary gap applies to the alleged token sales. Establishing that Sun sold TRX or BTT would require reliable wallet attribution and transaction records. Connecting those sales to celebrity posts would require further evidence linking the timing and trading activity to the alleged promotions.

The published rate sheet offers a limited snapshot: three listed fees totalling $345,000. It does not account for the broader $4 million figure. Until Arora provides supporting agreements, payment records or other independently verifiable evidence, the scale of the alleged spending and his claimed role in arranging the deals remain unestablished.