World Liberty Financial, the DeFi project backed by the Trump family, is facing scrutiny after a joint report by OCCRP and Guardian Australia examined one of its partners, AB Network. The report said AB Network had been involved in a blockchain-themed resort plan in Timor-Leste, where three people connected to the local development company were later sanctioned by the US Treasury over links to Cambodia's Prince Group.
Timor-Leste resort plan drew scrutiny
The project was pitched as a destination for crypto innovators. The local development company behind it had registered capital of $10 million. Corporate records cited in the report showed that its largest shareholder was Cyprus-based businessman Yang Jian, who was sanctioned by US authorities in October last year. The stated reason was his alleged cooperation with Prince Group chief executive Chen Zhi on another resort project that US authorities described as a predatory investment scheme.
The report also said Prince Group has been accused by US authorities of operating one of the world's largest online scam networks, with alleged annual proceeds in the tens of billions of dollars from scam compounds in Southeast Asia. Last year, the US government seized bitcoin worth $15 billion from Chen Zhi, described as the largest confiscation tied to online fraud. Chen was arrested by Cambodian authorities in January and extradited to China.
No evidence of direct AB Network tie to Prince Group
The investigation did not say that illegal funds flowed into the Timor-Leste resort project, and it did not present evidence of a direct relationship between AB Network and Prince Group. Still, after OCCRP reporters began asking questions, promotional material about the resort was removed from AB's website. That move drew more attention to the project's earlier links.
AB Network then published a statement on its website about its historical relationship with AB Digital Technology Resort, Lda, an entity registered in Timor-Leste. According to the statement, Ireland-based AB Foundation Company Limited by Guarantee currently has no active legal or commercial relationship with that company. AB said the connection was limited to a memorandum of understanding that had already been terminated.
AB says cooperation never moved beyond an MoU
AB said that in late June 2025, Cayman AB Foundation, Ireland-based AB Foundation Company Limited by Guarantee, and AB Digital Technology Resort, Lda signed an MoU. The idea was that if the Timor-Leste entity generated profits in the future, part of those profits would be donated to the Irish AB foundation. AB said the arrangement never entered an operational phase.
It also said that in November 2025, Cayman AB Foundation and the Irish entity jointly ended any potential cooperation under the MoU, and that no funds moved between the parties at any point. Lin Xiaofan, described as a key AB Network figure, denied any connection to Prince Group and said documents showed AB ended its resort cooperation in November last year.
WLFI says due diligence was completed
In the same month, AB Network announced a partnership with WLFI that allowed use of WLFI's dollar stablecoin, USD1, on its blockchain. Lin also said he introduced AB software developer Sui Chenggang to WLFI executives.
Responding through its lawyers, WLFI said it had conducted due diligence on AB but had never been told about the resort plan or any sanctioned individuals tied to it. WLFI said it remains committed to compliance review and responsible practices, and described claims linking the company to sanctioned persons as baseless and untrue.